China-based embodied intelligence firm X Square Robot has secured 1 billion yuan, approximately US$140 million, in an A++ funding round to advance its AI robotics capabilities and broaden its industrial applications. The round attracted participation from major technology investors including ByteDance and Sequoia China, alongside Shenzhen Capital Group and government-backed platforms. This funding represents Shenzhen Capital’s first investment from its newly launched AI-focused fund, signaling strong institutional confidence in the startup’s vision.
Founded in December 2023, X Square Robot has quickly positioned itself as a pioneer in general-purpose AI robotics, previously receiving backing from Meituan and Alibaba. The firm has developed and released two notable robotic platforms, Quantum-1 and Quantum-2, both of which integrate core technologies built in-house. By combining advanced AI models with mechanical design, X Square Robot aims to deliver solutions that extend beyond research prototypes into practical, scalable industrial applications.
With the fresh capital injection, the company plans to accelerate its expansion into sectors such as industrial manufacturing and logistics, where AI-driven automation continues to be in high demand. The funding is expected to enhance X Square Robot’s research and development capabilities, refine its hardware and software integration, and enable the rollout of next-generation robots capable of operating in complex environments. Investors cited the startup’s ability to internally develop key robotic components as a differentiator that sets it apart from other AI robotics ventures.
Industry analysts note that the A++ round highlights growing interest from both private investors and government-backed platforms in Chinese AI robotics startups that aim to combine general-purpose intelligence with real-world applications. X Square Robot’s ability to attract high-profile investors early in its lifecycle reflects broader trends in China’s AI ecosystem, where strategic funding is increasingly aligned with practical deployment in manufacturing, logistics, and other commercial sectors.
In addition to scaling its technology, X Square Robot is focusing on cultivating partnerships that bridge AI research with applied robotics. By leveraging the expertise of its investors, the company hopes to accelerate integration of its robotic platforms into existing industrial workflows, while maintaining flexibility to adapt to emerging technological demands. The firm’s ongoing commitment to in-house development is intended to ensure tighter control over software and hardware performance, minimizing reliance on external suppliers and allowing rapid iteration.
X Square Robot’s trajectory, from its founding in late 2023 to securing one of its largest investment rounds to date, underscores the rapid evolution of AI robotics in China. As competition intensifies, the company’s ability to translate advanced AI models into operational robots capable of handling manufacturing and logistics challenges may serve as a blueprint for next-generation robotics startups seeking to merge intelligence with practical utility.
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