(Yicai) Jan. 7 -- AI² Robotics has raised hundreds of millions of Chinese yuan in a pre-A financing round, the Chinese embodied artificial intelligence startup said today.

The fundraiser was led by Fortune Venture Capital and Dunhong Capital Management, Shenzhen-based AI² Robotics said. CoStone Capital also took part. The funds will be used to improve its core technologies, push commercialization, and strengthen ongoing projects with clients.

Embodied AI is a type of artificial intelligence that combines technologies to enable physical entities such as robots and smart cars to perceive, learn, and interact with their environment. It is seen as the next step in AI and is expected to greatly expand the boundaries of utilization and robot capabilities. 

Embodied AI robots will become more widely used in households and in all walks of life within five to 10 years, as well as replace humans in repetitive and dangerous work, said Guo Yandong, founder and chief executive of AI² Robotics.

Guo has 15 years of experience in the AI field, having previously worked in research and development at electric car startup Xpeng Motors and mobile phone company Oppo. He founded AI² Robotics in April 2023.

The company has already launched robot products including the Alpha Bot series, securing clients in the auto, manufacturing, and internet sectors. Last year, the firm had revenue in the tens of millions of yuan, it said.

Editors: Dou Shicong, Tom Litting