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- Xiaoice
Xiaoice Revenue, Valuation, Funding & Investors
Xiaoice is valued at $2B as of November 2022.
Last Xiaoice valuation
$2B
Series B · Nov 2022
Last Xiaoice funding round
$139M
Series B · Nov 2022
Xiaoice revenue
$15M
Series A · Jul 2021
Key investors in Xiaoice
IDG Capital
Hillhouse Investment
GGV Capital
5Y Capital
Northern Light Venture Capital
NetEase
Xiaoice Overview
About Xiaoice
Xiaoice is a Beijing-based AI company developing conversational chatbots with emotional intelligence for extended dialogues. Launched by Microsoft in 2014 and spun off in 2020, Xiaoice integrates NLP, speech synthesis, and image generation serving 660 million users in China via WeChat and Douyin.
Founded
2014
HQ
Website
Status
Privately held
Customer focus
B2C
Revenue model
Advertising, Subscription
Revenue
$15M (Jul 2021)
Valuation
$2B (Nov 2022)
Xiaoice Valuation
Xiaoice is currently valued at $2B, based on its Series B in November 2022.
Xiaoice's valuation has grown 2.0x from $1B at its Series A in July 2021 to $2B in November 2022, across 2 priced rounds.
Xiaoice valuation by funding round
Revenue multiple| Date | Stage | Valuation | Revenue Multiple |
|---|---|---|---|
| Nov 2022 | Series B | $2B | - |
| Jul 2021 | Series A | $1B | 66.7x |
Xiaoice Revenue
Xiaoice's latest recorded revenue is $15M, as of its Series A in July 2021. At a $1B valuation, that implies a 66.7x revenue multiple.
Xiaoice revenue by funding round
| Date | Revenue * | Valuation | Revenue Multiple | Stage |
|---|---|---|---|---|
| Jul 2021 | $15M | $1B | 66.7x | Series A |
* Revenue (or ARR) figures are the values recorded alongside each funding round. Typically run-rate revenue at the time of the deal, or a reported LTM (last 12 months) revenue.
Xiaoice Funding History
Xiaoice has raised a total of $217M across 2 funding rounds.
Xiaoice's first fundraising round was a $77M Series A in July 2021. The most recent completed round was a $139M Series B in November 2022.
Xiaoice funding rounds
| Date | Stage | Investors | Raised | Valuation | Deal Summary |
|---|---|---|---|---|---|
| Nov 2022 | Series B | - | $139M | $2B | Xiaoice is an artificial intelligence chatbot developer founded in 2014 by Microsoft researchers and spun off as a standalone Chinese company in July 2020. The company is modeled as an empathic computing framework focused on longer conversational interactions with users, positioning itself as a digital employee solution serving financial services, smart vehicle, retail, and sports sectors. Notable clients include China Unicom, the Securities and Futures Commission of Hong Kong, BMW, and Nio. In its Series B funding round closed on November 7, 2022, Xiaoice raised 1 billion yuan ($138.4 million) from investors including Sequoia Capital and existing shareholders, doubling the company's valuation to $2 billion from the $1 billion valuation achieved in its July 2021 Series A round. The company announced it would deploy the new capital to accelerate research and development of its AI technology and promote adoption of its digital employee platform. |
| Jul 2021 | Series A | Hillhouse Investment (lead); Northern Light Venture Capital; IDG Capital; Neumann Advisors; 5Y Capital; GGV Capital; NetEase; Wuyuan Capital | $77M | $1B | Xiaoice, a Chinese AI chatbot developer spun off from Microsoft in July 2020, focuses on empathic computing with natural language processing for interactive conversations, virtual avatars, and automation tools. Modeled as a teenage girl, it serves industries like finance, retail, automobiles, real estate, and textiles, with clients including Xiaomi, Huawei, Oppo, ByteDance's Jinri Toutiao, NetEase Cloud Music, and Tencent's QQ. The company has research teams in Beijing, Suzhou, and Tokyo, and reported 660 million global online users as of mid-2021. In July 2021, Xiaoice closed a Series A funding round led by Hillhouse Capital, with participation from GGV Capital, IDG Capital, 5Y Capital, Northern Light Venture Capital, NetEase, and others, achieving unicorn status with a post-money valuation over $1 billion USD. The round amount was not disclosed, but the funding supported advancements like new natural speech technology for human-like AI voices in conversations and singing. Xiaoice demonstrated strong traction with 2020 annual revenue exceeding RMB 100 million (USD 15.4 million) and a 90% share in China's automated financial report vertical. It leads in China's NLP and chatbot market, expanding backend automation and interactive AI use cases. A subsequent third-round funding in November 2022 raised $138.4 million, doubling valuation to $2 billion, with participation from Sequoia Capital and existing investors, to accelerate AI R&D and digital employee adoption. |
Who has invested in Xiaoice?
8 investors have backed Xiaoice across its funding rounds, including IDG Capital, Hillhouse Investment, GGV Capital, 5Y Capital, Northern Light Venture Capital and NetEase.
Lead investors include Hillhouse Investment.
Xiaoice Investors
| Investor | HQ | Rounds | Role | First check |
|---|---|---|---|---|
| 1 | Participant | Jul 2021 | ||
| 1 | Participant | Jul 2021 | ||
| 1 | Lead | Jul 2021 | ||
| 1 | Participant | Jul 2021 | ||
| 1 | Participant | Jul 2021 | ||
| 1 | Participant | Jul 2021 | ||
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Benchmark 350K+ Funding Rounds and Disclosed VC Valuation Multiples
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Start Free TrialXiaoice Competitors
Xiaoice competitors include listed companies like Haizhi and C3.ai, and private ones like Lin Junyang AI Lab, Turing, Liquid AI and H2O.ai.
| Company | HQ | Status | Revenue | EBITDA | Valuation | Revenue Multiple |
|---|---|---|---|---|---|---|
| Private | - | - | $2B | - | ||
| Publicly listed | $93M | ($30M) | $2.1B | 16.3x | ||
| Private | $300M | - | $2.2B | 7.3x | ||
| Publicly listed | $250M | ($484M) | $1.7B | 4.5x | ||
| Private | - | - | $2.4B | - | ||
| Private | - | - | $1.7B | - |
Xiaoice Public Comps
Xiaoice is still privately-owned, but its public comps include Haizhi, Ncino, Affle 3i, C3.ai, Wenge AI, TRS Information Technology, Shenzhen Ysstech Info, PCITECH, Intsig Information and BigBear.ai.
| Last FY | EV/Revenue | EV/EBITDA | ||||||
|---|---|---|---|---|---|---|---|---|
| Revenue | EBITDA | Last FY | LTM | 2027E | Last FY | LTM | 2027E | |
| $93M | ($30M) | 21.5x | 16.3x | (67.1x) | (440.4x) | |||
| $595M | $65M | 4.3x | 4.0x | 39.0x | 15.8x | |||
| $282M | $67M | 7.4x | 6.7x | 31.3x | 29.5x | |||
| $250M | ($484M) | 4.3x | 4.5x | (2.2x) | (6.2x) | |||
| $60M | ($20M) | 27.6x | - | (82.7x) | - | |||
| $76M | ($20M) | 19.3x | 19.7x | (73.5x) | 478.8x | |||
| $205M | $4M | 7.2x | - | 378.8x | - | |||
| $1.5B | $53M | 0.8x | 0.9x | 24.1x | - | |||
This data is available for Pro users. Sign up to see all Xiaoice competitors and their valuation data. Start Free Trial | ||||||||
Common questions about Xiaoice
| When was Xiaoice founded? | Xiaoice was founded in 2014. |
| Where is Xiaoice headquartered? | Xiaoice is headquartered in Beijing, China. |
| Is Xiaoice publicly listed? | No, Xiaoice is a private, VC-backed company. |
| What is Xiaoice's valuation? | Xiaoice was last valued at $2B in its Series B in November 2022. |
| How much funding has Xiaoice raised? | Xiaoice has raised $217M across 2 funding rounds. |
| What was Xiaoice's last funding round? | Xiaoice's last funding round was a $139M Series B in November 2022. |
| Who are Xiaoice's investors? | Xiaoice's investors include Northern Light Venture Capital, IDG Capital, Hillhouse Investment, Neumann Advisors, 5Y Capital, GGV Capital, NetEase and Wuyuan Capital. |
| What is Xiaoice's revenue? | Xiaoice's latest recorded revenue is $15M (July 2021). |
| What is Xiaoice's revenue multiple? | Xiaoice's latest valuation implies a 66.7x revenue multiple ($1B valuation on $15M of revenue). |
| Which companies are comparable to Xiaoice? | Companies comparable to Xiaoice include Lin Junyang AI Lab, Haizhi, Turing, C3.ai, Liquid AI and H2O.ai. |
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