Kuaishou Plans $20B AI Video Spin-Off; Tencent Joins Pre-IPO Round

Kuaishou is preparing to spin off its AI video unit Kling and raise as much as $20 billion before a possible IPO.

Tencent is reportedly taking part in the pre-IPO round, which is tied to a valuation target of about $200 billion.

Kling’s revenue and ARR have been growing rapidly, reflecting strong demand for AI video generation tools.

The unit could pursue a Hong Kong listing as early as 2027, potentially making it one of China’s most valuable standalone AI businesses.