Baidu shares jump 7% as AI chip arm Kunlunxin said to target $50 billion Hong Kong IPO

A general view of the Baidu logo is seen at the Shanghai New Expo Center during the World Artificial Intelligence Conference 2025 in Shanghai, China, on July 28, 2025. Ying Tang | Nurphoto | Getty Images Hong Kong-listed shares of Baidu surged more than 7% Monday on reports that its artificial intelligence chip unit Kunlunxin is targeting an initial public offering in the city, which could value its affiliate at $50 billion. Prospective investors were asked to buy semiconductors worth three to seven times the value of their intended investment in Kunlunxin's planned listing, The Information reported Sunday, citing two sources familiar with the matter. Baidu confidentially filed a listing application for Kunlunxin on the Hong Kong Stock Exchange at the start of the year, though offering details, including size and structure, were undecided then. Kunlunxin chips have drawn interest from ByteDance, the owner of TikTok, according to an earlier Reuters report citing sources. Stock Chart Icon Stock chart icon Founded in 2011, Kunlunxin mainly supplies ‌chips to its parent company Baidu. While Baidu retains a controlling stake, the company operates independently and has broadened its scope to external sales over the past two years. The report comes as China accelerates efforts to strengthen its position in the increasingly competitive AI sector. …