Iluvatar CoreX Considers Hong Kong IPO Amid Nvidia Boycott

Iluvatar CoreX, a Chinese AI chipmaker, is considering an initial public offering (IPO) in Hong Kong, potentially raising $300-400 million. The IPO comes as investor interest in Chinese AI chipmakers grows, with Beijing discouraging the use of Nvidia processors. Iluvatar CoreX joins a pipeline of Chinese AI companies looking to go public in Hong Kong, including Cambricon Technologies Corp., MiniMax, Zhipu, and Shanghai Biren Intelligent Technology Co.

Iluvatar CoreX, a Chinese artificial intelligence (AI) chipmaker, is reportedly considering an initial public offering (IPO) in Hong Kong. The potential IPO could raise up to $400 million, according to sources familiar with the matter [1]. The move comes amid growing investor interest in Chinese AI chipmakers, fueled by Beijing's encouragement to avoid using Nvidia Corp. processors.

Iluvatar CoreX, which makes graphics processing units crucial for AI services, is one of several Chinese AI companies planning to go public in Hong Kong. The company joins a pipeline that includes Cambricon Technologies Corp., MiniMax, Zhipu, and Shanghai Biren Intelligent Technology Co. [1]. The timing of the IPO coincides with China's push to reduce reliance on Nvidia's H20 processors, which are seen as having security and environmental concerns [2].

Investor interest in Chinese AI chipmakers has surged as Beijing discourages the use of Nvidia's H20 processors. The Chinese government has raised concerns about potential backdoor access in these chips, leading to a call for domestic alternatives [2]. The H20 chips are also criticized for being neither technologically advanced nor environmentally friendly [2].

The move by Iluvatar CoreX and other Chinese AI chipmakers to go public in Hong Kong is seen as a strategic move to tap into the growing investor interest in the sector. Bernstein analysts have noted that Chinese AI chipmakers are poised to benefit from increased domestic demand and tighter scrutiny of Nvidia's advanced chips [3]. The analysts expect Cambricon Technologies to see significant growth in revenue if it secures 2,000 wafers per month, which is far above current consensus forecasts [3].

Iluvatar CoreX's potential IPO comes after it raised $1.2 billion in 2021 and another $1 billion in 2022 through funding rounds led by Centurium Capital and Cedarlake Capital [1]. The company's focus on AI chip development aligns with China's strategic push to enhance its semiconductor capabilities and reduce reliance on foreign technology.

In conclusion, Iluvatar CoreX's consideration of an IPO in Hong Kong reflects the growing interest in Chinese AI chipmakers and the broader trend of domestic firms seeking to fill the gap left by Nvidia's H20 processors. The move is part of a broader strategy to boost China's semiconductor industry and reduce its dependence on foreign technology.

References:
[1] https://www.bloomberg.com/news/articles/2025-08-13/ai-chipmaker-iluvatar-corex-is-said-to-mull-hong-kong-ipo
[2] https://www.business-standard.com/world-news/chinese-state-media-flags-security-risks-in-nvidia-h20-ai-chips-125081000592_1.html
[3] https://www.investing.com/news/stock-market-news/china-ai-bernstein-sees-chipmakers-benefiting-from-nvidia-scrutiny-4187073