AI’s expansion into the physical world is reshaping what investors choose to back
Updated
February 12, 2026 1:21 PM
Exterior view of the Exchange Square in Central, Hong Kong. PHOTO: UNSPLASH
Artificial intelligence is often discussed in terms of large models trained in distant data centres. Less visible, but increasingly consequential, is the layer of computing that enables machines to interpret and respond to the physical world in real-time. As AI systems move from abstract software into vehicles, cameras and factory equipment, the chips that power on-device decision-making are becoming strategic assets in their own right.
It is within this shift that Axera, a Shanghai-based semiconductor company, began trading on the Hong Kong Stock Exchange on February 10 under the ticker symbol 00600.HK. The company priced its shares at HK$28.2, debuting with a market capitalization of approximately HK$16.6 billion. Its listing marks the first time a Chinese company focused primarily on AI perception and edge inference chips has gone public in the city — a milestone that underscores growing investor interest in the hardware layer of artificial intelligence.
The listing comes at a time when demand for flexible, on-device intelligence is expanding. As manufacturers, automakers and infrastructure operators integrate AI into physical systems, the need for specialized processors capable of handling visual and sensor data efficiently has grown. At the same time, China’s domestic semiconductor industry has faced increasing pressure to build local capabilities across the chip value chain. Companies such as Axera sit at the intersection of these dynamics, serving both commercial markets and broader industrial policy priorities.
For Hong Kong, the debut adds to a cohort of technology companies seeking public capital to scale hardware-intensive businesses. Unlike software firms, semiconductor designers operate in a capital-intensive environment shaped by supply chains, fabrication partnerships and rapid product cycles. Their presence on the exchange reflects a maturing investor appetite for AI infrastructure, not just consumer-facing applications.
Axera’s early backer, Qiming Venture Partners, led the company’s pre-A financing round in 2020 and continued to participate in subsequent rounds. Prior to the IPO, it held more than 6 percent of the company, making it the second-largest institutional investor. The public offering provides liquidity for early investors and new funding for a company operating in a highly competitive and technologically demanding sector.
Axera’s market debut does not resolve the competitive challenges of the semiconductor industry, where innovation cycles are short and global competition is intense. But it does signal that investors are placing tangible value on the hardware, enabling AI’s expansion beyond the cloud. In that sense, the listing represents more than a corporate milestone; it reflects a broader transition in how artificial intelligence is built, deployed and financed — moving steadily from software abstraction toward the silicon that makes real-world autonomy possible.
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Amid AI and tech startups, Eastseabrother proved the power of demand and trust.
Updated
January 23, 2026 10:41 AM
Cats having a jolly good time with a can of tuna. PHOTO: UNSPLASH
At a Silicon Valley pitch event crowded with AI, SaaS and deep-tech startups, the company that stood out was not selling software or algorithms. It was selling pet treats.
Eastseabrother, a premium pet food brand from South Korea, ranked first at a Plug and Play–hosted investor pitch competition in Sunnyvale. The product itself is simple: single-ingredient pet treats made from wild-caught seafood sourced from Korea’s East Sea. The company follows a principle it calls “Only What the Sea Allows”, working directly with regional fishermen while avoiding overfishing. With no additives and minimal processing, what sets Eastseabrother apart is not novelty, but control—over sourcing, supply chains and consistency.
That clarity helped the company walk away with both Best Product and Best Potential. “Investors asked detailed questions about repeat purchase rates and customer feedback, not just our technology or supply chain”, said Eunyul Kim, CEO of Eastseabrother. “That told us the market is shifting—real consumer trust now carries as much weight as a compelling tech narrative”.
What truly caught investors’ attention was not an ambitious vision of the future, but concrete evidence of traction today. Eastseabrother has already secured shelf space in specialty pet stores across California, New York and North Carolina, including an exclusive partnership with EarthWise Pet, a national specialty retail chain. At a consumer showcase at San Francisco’s Ferry Building, the brand recorded the highest on-site sales among all participating companies.
At its core, the pitch was built on simplicity: one ingredient, clear sourcing and a defined customer need. In a market saturated with complex products and abstract claims, that focus and transparency stood out.
The judges’ decision also reflects a broader shift in venture capital thinking. Not every successful startup is built on complex software or high-tech innovation. In categories like pet care—where trust, quality and transparency shape buying behavior—execution and credibility can matter more than technical sophistication.
Today, Eastseabrother has extended its reach beyond the U.S., expanding into Singapore and Hong Kong, with additional plans to grow further in North America as demand for premium pet food rises. And the broader takeaway from this pitch is not that consumer brands are overtaking tech startups. It is that investors are increasingly focused on fundamentals: who is buying, why they are returning and whether the business can sustain itself beyond the pitch deck.