Physical AI startup Zhicheng AI raises hundreds of millions in fourth round

Zhicheng AI has completed a funding round worth hundreds of millions of yuan, with Hangzhou Capital, Fuzhe Technology, Caitong Capital and Linglan Capital participating as investors. Hangzhou Capital is a municipal state-owned investment platform, while Fuzhe Technology and Caitong Capital belong to Zhejiang's state-owned system. Linglan Capital is a market-oriented private fund with industrial collaboration links.

The round is the fourth publicly disclosed financing for Zhicheng AI since the company was founded in March 2024. The involvement of several state-linked investors, alongside a market fund, underscores growing institutional interest in China's physical AI sector, where embodied intelligence and world models are seen as key directions for next-generation robotics.

Zhicheng AI said the proceeds will focus on deepening its work in embodied intelligence and world models. The company plans to accelerate iteration of core technologies and push products toward commercialization. The announcement did not specify the exact amount. The company's positioning places it among a wave of startups seeking to combine AI models with physical systems, although concrete deployment details remain limited. The announcement highlights continued investor appetite for robotics and AI startups in China.