Alibaba-backed startup Moonshot AI's valuation is up $500 million, sources say, after its rivals IPO in Hong Kong

BEIJING — An Alibaba-backed AI startup is currently being valued at $4.8 billion in a fresh funding round, two people with knowledge of the deal said, just weeks after it was valued at $4.3 billion.

Moonshot AI is the company behind the Kimi chatbot, which surged in popularity in China months before DeepSeek’s release last year.

Since Moonshot’s previous in December, rival Chinese AI companies — Zhipu and MiniMax — surged after going public in Hong Kong.

The sources told CNBC that Moonshot was closing a funding round that will value it at least $500 million higher than the December round. The sources said the round would likely close soon due to high demand.

Both asked to remain anonymous while discussing private information. Moonshot AI had not responded to a request for comment as this article went live.