Baidu has raised money for its artificial intelligence (AI) semiconductor business at a valuation of US$2 billion, a person familiar with the matter told CNBC.
It comes as the Chinese search company looks to diversify its revenue streams.
The funding round was led by CPE, a Chinese asset management and private equity firm, the person said. Venture capital companies IDG and Legend Capital were also involved. A fund under Chinese investment company Oriza Holdings also participated in the round.
“Baidu’s Kunlun chip business has recently completed a round of financing. We will release more information in due course,” a spokesperson for Baidu said, without providing any details.
Kunlun is the name of Baidu’s AI chip business. It was not immediately clear how much money Baidu raised, but the source said the valuation of the chip business after the funding was US$2 billion.
Reuters first reported news of the funding.
