Moore Threads, the Chinese chipmaker often likened to “China’s Nvidia,” surged more than 500pc on its stock market debut, underscoring growing concerns about an AI-driven market bubble.
The Beijing-based company raised around $1.1bn (£749m) in its initial listing on Shanghai’s stock exchange, with its valuation rocketing to over $40bn by Friday.
Moore Threads develops graphics processing units (GPUs) — the same class of chips that propelled Nvidia to a valuation above $4.5tn as tech giants race to build advanced AI infrastructure. Silicon Valley companies have snapped up vast quantities of Nvidia processors for data centres, helping inflate the sector and intensify fears of overheating.
China, meanwhile, has been cut off from cutting-edge US-made chips due to export restrictions, prompting domestic firms to accelerate development of home-grown GPU technology. Moore Threads, founded just five years ago by former Nvidia executive Zhang Jianzhong, builds GPUs designed to be compatible with Nvidia’s software ecosystem.
“Our goal is to become a leading GPU player with international competitiveness,” Zhang told the Shanghai Securities Journal.
The company was placed on the US Entity List in 2023, a trade blacklist targeting firms Washington deems national security risks. Major backers include ByteDance, owner of TikTok, and Lian Wenfeng, founder of DeepSeek, a rising Chinese AI rival to OpenAI.
Despite its sky-high valuation, Moore Threads remains heavily loss-making, and its revenues are a tiny fraction of Nvidia’s. The company reported roughly $100m in revenue for the first half of the year.
The spectacular debut comes amid volatile global market conditions, with Nvidia shares down about 10pc from their October peak.
