Chinese artificial intelligence company MiniMax has secured nearly US$300 million in its latest funding round. This achievement leads to a post-money valuation exceeding 30 billion yuan (approximately US$4 billion).

This funding round marks the first investment from a state-owned entity. The Shanghai State-owned Assets Supervision and Administration Commission has joined as a new shareholder.

The funding also included contributions from publicly listed companies and cross-investment funds. This financing process, which lasted about six months, positions MiniMax as one of only two Chinese AI companies valued at 30 billion yuan, alongside Zhipu.

Founded in 2021 by Yan Junjie, a former vice president at SenseTime, MiniMax has previously raised US$600 million in a Series B round led by Alibaba. The company also secured over US$250 million in Series A funding from Tencent Capital.

Other significant investors include Yunqi Partners, Hillhouse Capital, IDG, Future Capital, and gaming firm MiHoYo. Bloomberg reported in June that the company is preparing for a potential listing in Hong Kong.

MiniMax has not commented on this latest funding round.

🔗 Source: AI Base

🧠 Food for thought

1️⃣ State investment signals AI’s strategic importance in China’s technology landscape

MiniMax’s funding round represents a significant shift in China’s AI investment landscape, as it marks the first time the company received backing from a state-owned entity.

This follows a broader pattern where the Chinese government strategically invests in technologies it considers vital for national interests, particularly through entities like the State-owned Assets Supervision and Administration Commission (SASAC) 1.

The investment comes amid China’s push to develop indigenous AI capabilities, with state entities increasingly backing promising AI startups to ensure technological self-sufficiency in this critical sector.

Unlike purely private investments, state-backed funding often brings different expectations, balancing commercial success with alignment to national strategic objectives, a dynamic observed across multiple technology sectors in China 2.

For MiniMax, securing both private capital (from Alibaba and Tencent in previous rounds) and now state investment creates a “mixed ownership” structure that has become increasingly common in China’s approach to strategic industries 1.

2️⃣ Mixed ownership model reflects evolving approach to tech governance

MiniMax’s funding structure now represents the “messy middle” of Chinese corporate ownership, neither fully private nor fully state-controlled, a model that has become increasingly prevalent in China’s strategic sectors 3.

Recent MiniMax developments