Kuaishou Plans Kling AI Spin-Off at $18 Billion Valuation

Key Facts

1Kuaishou is preparing to spin off its Kling AI video unit with a target valuation of approximately $18 billion.

In a move reflecting the accelerating global race in AI-generated visual content, Kuaishou is preparing to spin off its Kling AI video unit. The company aims to grant the unit financial and structural independence to allow for expansion in the burgeoning AI market. According to reports, the spin-off targets a valuation of approximately $18 billion for the new entity.

This strategic shift comes amid intensifying competition with tech giants like ByteDance, the owner of TikTok, which is also developing similar AI tools. Per market data, the proposed $18 billion valuation places Kling among the top-tier startups in the sector, outstripping many domestic Chinese rivals currently seeking investment in large language models and video generation technologies.

Regarding market performance, Kuaishou shares (1024.HK) stood at 43.80 HKD at the close of July 14, 2026. Investors are closely monitoring official updates on the spin-off timeline, particularly following China's inflation data released on July 9, which showed relative stability that could influence risk appetite within the technology sector.