Chinese AI giant SenseTime sees valuation surge above USD 7.5 billion

Competition heats up after rival Megvii files for an IPO in Hong Kong.

Provided by the company's PR

Chinese AI powerhouse SenseTime said Thursday it’s valued at more than USD 7.5 billion after rounds of financing that took its total funding to more than USD 3 billion.

Xu Li, co-founder and CEO of SenseTime, disclosed his company’s latest valuation when attending a Bloomberg conference in Singapore on Thursday. The company’s spokesperson later on confirmed the valuation when approached by KrASIA, adding that SenseTime’s funding is now totaled at north of USD 3 billion.

Xu also told the audience at the conference that his company is not in a rush to go public, according to Bloomberg.

His remarks come after Megvii, one of its arch-rivals in China, has recently filed for an initial public offering to float in Hong Kong. Megvii’s facial recognition technologies have been used in smartphones made by Xiaomi, Oppo, and Vivo.

Megvii claims that it accounted for more than 60% of China’s cloud-based facial recognition market by revenue in 2018, citing data of market research firm China Insights Consultancy.

The company made RMB 949 million (USD 133 million) in total revenue in the first six months of this year, with a net loss of more than RMB 5.2 billion.