Physix FrontierPhysix Frontier · News Briefing Card (TMTPost · Nov 4, 2026)
Kuaishou's Kling AI raises about 19.8B yuan at ~$18B post-money
KEY FACTS
- Kling AI, a Kuaishou subsidiary, closed a funding round with investors contributing about 19.8 billion yuan in total.
- Some original subscribers exited after missing payment deadlines, and their shares were taken over by new investors including Kingdee.
- After the deal, Kuaishou holds about 66.7% of Kling's equity and 52.5% of its voting rights through Lucky Labs.
- Kling's post-money valuation is about $18 billion, exceeding Kuaishou Group's Hong Kong market capitalization that day.
- Tencent and Alibaba Cloud each invested about 1.36 billion yuan for roughly 1.1% stakes.
KEY DATA
About 19.8 billion yuanTotal funding
About $18 billionPost-money valuation
66.7%Kuaishou stake
About 1.36 billion yuanTencent/Alibaba Cloud individual investment
PHYSIX OBSERVATION
The primary market has priced Kling AI's video business above its parent company, showing that capital is separately valuing scarce generative video capability. A notable signal is that Tencent, Alibaba Cloud and Baidu appear on the same shareholder register; their stakes look more like insurance to lock in API and compute customers. Kling's revenue is growing fast but losses are widening, and whether it can sustain the valuation depends on commercialization, not the next funding round.
Source: TMTPost report