Xpeng Robotics raises $900M for humanoid robot development

Xpeng Robotics has secured over $900 million in a private funding round, bringing the company's post-money valuation to more than $6.3 billion. The investment round was led by IDG Capital, with participation from Gaorong Ventures, Tencent, and Alibaba. Xpeng founders He Xiaopeng and Brian Gu reportedly contributed approximately $100 million from personal funds.

The capital is directed toward the development of ‘Iron’, a humanoid robot designed for industrial and commercial applications. The Iron robot features 76 degrees of freedom and utilizes three Turing AI chips, providing up to 2,250 TOPS of processing power. Xpeng aims to begin mass production of Iron by the end of 2026, with deliveries to China and international markets expected in 2027.

Xpeng is part of a broader trend among Chinese automakers—including BYD, Chery, Changan, GAC, Li Auto, SAIC, and Seres—who are increasingly investing in humanoid robotics to find new growth drivers. This movement mirrors Tesla’s strategy with its Optimus robot, as manufacturers seek to integrate automotive, AI, and robotics expertise to achieve higher profit margins.