(Yicai Global) May 8 -- Chinese artificial intelligence startup Cloudwalk Technology will launch its large AI model on May 18, according to tech website 36Kr, which cited an insider familiar with the matter. 

The company is developing its AI model with a focus on specific industries, including finance, gaming and transport, the 36Kr report said. On its official WeChat account, the firm said that on May 18 it will have an event to launch a human-machine collaborative product.

Shares in Guangzhou-based Cloudwalk Technology [SHA:688327] closed down about 3.3 percent at CNY36.5 (USD5.3) today. The shares are down by over 40 percent from the beginning of last month, but are still up 150 percent from the start of the year. 

Amid the rising popularity of ChatGPT and similar AI products, Cloudwalk Technology’s stock price almost quadrupled earlier this year but fell back last month after the startup revealed disappointing performance in its annual earnings report for 2022. 

Cloudwalk logged business revenue of CNY526 million (USD76 million) last year, an annual drop of 51 percent, and had a net loss of CNY869 million, increasing from 2021’s net loss of CNY632 million. Also, the company’s revenue from its AI fields only totaled CNY2.85 million (USD412,022.5), down 87 percent year-on-year. 

The company blamed slower macroeconomic growth, intensified market competition, and hefty investment in research and development for its declining business revenue. R&D expenses during the first three quarters last year took up around 94.2 percent of its overall business revenue. 

The company listed on the Shanghai Stock Exchange last year, raising a total of CNY1.73 billion (USD250.1 million), and on April 26 this year, it announced a plan for a private placement, through which it hopes to raise around CNY3.6 billion (USD523.8 million). All of the funds will go towards R&D for its large AI model. 

Editor: Tom Litting