XPENG robotics business raises over US$900 million at a post-money valuation of over US$6.3 billion, accelerating physical AI deployment

• XPENG robotics business raises over US$900 million, at a post-money valuation of over US$6.3 billion, marking the largest single-round private financing ever recorded in China's embodied AI industry.
• This round was initiated by leading global investors, led by IDG Capital, with participation from Gaorong Ventures and support from Tencent and Alibaba as strategic investors.
• The funding will accelerate XPENG humanoid robotics mass production and Physical AI model R&D iterations, driving advanced general-purpose humanoid robot toward a new stage of global commercialization.

GUANGZHOU, China, Aug. 24, 2026 /PRNewswire/ -- XPeng Inc. ("XPENG" or the "Company,"NYSE: XPEV and HKEX: 9868), a leading global Physical AI company, announced today that its robotics business has entered into share purchase agreements with multiple investors, raising over US$900 million at a post-money valuation of over US$6.3 billion, which marks the largest single-round private capital raise in China's embodied AI industry to date.

This round was initiated by leading global investors, led by IDG Capital, with participation from Gaorong Ventures and support from Tencent and Alibaba as strategic investors. With the amount of this first funding round and post-money valuation setting new industry records, this reflects strong investor confidence in XPENG's leadership in Physical AI, technology roadmap, ability to scale production, and long-term commercial potential. It also brings valuable strategic resources to accelerate the development of XPENG's robotics ecosystem and expand its real-world applications.

As a key pillar of XPENG's Physical AI strategy, XPENG's next-generation IRON is an advanced humanoid robot combining highly human-like form and movement with AI-driven intelligence, designed to meet the highest safety standards. It is being developed as an advanced general-purpose humanoid robot platform, capable of supporting a broad range of applications and continuously improving through self-reinforcement in the real world. To achieve this vision, XPENG has built a fully integrated, in-house technology stack spanning both hardware and software, covering every core layer of the robot, from its physical architecture and actuation systems to its AI and control systems.

At the hardware level, XPENG IRON features an industry-leading human-like form and design, with a proprietary fully enclosed flexible lattice structure designed to balance aesthetics and safety. With 76 degrees of freedom (DOF) across the body and 21 in each hand, IRON delivers industry-leading levels of dexterity and mobility. Underpinning these capabilities is an AI-native hardware platform that XPENG has designed and developed in-house, together with the full range of core components, including chips, controllers, motion modules and dexterous hands. Leveraging XPENG's established capabilities in intelligent EV research and development, as well as manufacturing infrastructure, the company is bringing automotive-grade quality standards and large-scale mass production and delivery capabilities to humanoid robotics.

On the intelligence side, XPENG IRON is powered by three Turing AI chips delivering up to 2,250 TOPS of effective computing power. This computing power enables XPENG to deploy its Physical AI foundation model directly on the robot, enabling IRON to autonomously perform complex tasks without remote operation, while ensuring low-latency inference and enhanced data security. IRON's highly human-like hardware platform gives XPENG a natural advantage in scaling and leveraging a broad range of behavioral data generated through everyday human activities, while enabling IRON to quickly adapt to applications and environments designed for people. As IRON enters mass production and real-world deployment, this will create a data-model-application flywheel, accelerating the humanoid robot's ability to learn, improve and expand into new scenarios.

This financing round establishes a clear market valuation for XPENG robotics business, providing diversified capital to support long-term investment in full-stack Physical AI development, while strengthening long-term incentive mechanisms for senior executives and key talent. Upon closing, XPENG will retain controlling ownership of the robotics business, which will continue to be consolidated into the Group's financial statements.

The latest funding will primarily support software and hardware R&D for XPENG robotics business, the training and iteration of its Physical AI models, high-quality data generation, the development of end-to-end mass production facilities, and global commercial expansion. XPENG IRON is expected to enter mass production by the end of 2026, with initial commercial deployment at XPENG's stores and campuses, before officially launching and beginning deliveries in China and overseas markets in 2027.

IDG Capital said: "The embodied AI industry stands at a pivotal juncture, transitioning from technical breakthroughs to scalable manufacturing and commercial deployment. XPENG's humanoid robot exemplifies the current standard of excellence in China's humanoid robotics industry and possesses the competitive strength to succeed in global markets. XPENG has established a comprehensive, integrated full-stack capability across edge AI processors, Physical AI foundation models, and complete robotic systems, underpinned by industry-leading on-device compute, training compute, and a robust high-quality data flywheel. The robotics business also benefits from significant strategic synergies with XPENG's smart EV and autonomous driving businesses. We believe these advantages will make XPENG a leader in driving the humanoid robotics industry toward real-world deployment at scale."

Gaorong Ventures said: "Humanoid robot is moving beyond demonstrations of mobility and dexterity toward reliable mass production and tangible value creation in real-world settings. With its highly anthropomorphic form factor and automotive-grade standards for safety and quality, XPENG IRON is built for commercial deployment. It serves not only as an intuitive, human-centered interface but also as a critical gateway to real-world data, powering a self-reinforcing 'Production–Data–Models–Deployment' flywheel. By systematically translating its full-stack R&D, supply chain, and manufacturing capabilities—honed over more than a decade in the smart EV sector—into robotics, XPENG is laying a solid foundation for the industrialization of humanoid robots. Gaorong has long recognized the XPENG team's strengths in product definition and engineering execution. We look forward to partnering with XPENG to propel China's Physical AI innovations onto the global stage."

He Xiaopeng, Chairman & CEO of XPENG, said: "Over the past 12 years, XPENG has remained committed to full-stack in-house R&D, building a solid technological foundation for the physical AI era—across our physical world foundation model, Turing AI chips, and AI infrastructure. This has enabled us to pioneer a new phase of mass production and commercial deployment for advanced humanoid robots. I believe the strong capital backing from leading global and strategic investors provides the resources needed to accelerate the growth of our robotics business, while strengthening our ability to attract more world-class Physical AI talent. IRON brings together a highly human-like design, advanced AI intelligence, built to the highest standards of safety and quality. Our ambition is for IRON to become a trusted partner for people and a meaningful part of everyday work and life."

About XPENG
XPENG is a leading global Physical AI company, dedicated to bringing artificial intelligence into the physical world to reshape future mobility and smart living. Through in-house R&D, XPENG has developed a full-stack Physical AI architecture spanning Turing AI chips, world foundation models, and highly integrated software and hardware applications. This unified technology foundation of XPENG powers an expansive product portfolio of smart EVs, robotaxis, and humanoid robots, advancing the deployment of Physical AI at scale. Headquartered in Guangzhou, China, XPENG is dual-primary listed on the New York Stock Exchange and the Hong Kong Stock Exchange. With global capabilities across R&D, manufacturing, sales, and services, XPENG drives continuous technological innovation and fosters an open Physical AI ecosystem, making life smarter, safer, and better for users worldwide. For more information, please visit https://www.xpeng.com/.

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