Beijing Kling, the Kuaishou unit behind the Kling AI video generator, has completed a fundraising round of about 19.8 billion yuan ($2.98 billion), Kuaishou said on Friday. Why it matters: it is Kling’s second multi-billion-dollar raise in roughly three months, and it arrives while the AI video maker is reportedly preparing an IPO next year — fresh proof that investors still treat AI video as one of the most valuable races in the industry.
October 30, 2026
What happened
Kuaishou Technology, the Tencent-backed short-video company listed in Hong Kong, announced on Friday that its unit Beijing Kling has completed a fundraising round of about 19.8 billion yuan ($2.98 billion). Kuaishou did not reveal how Kling plans to use the proceeds.
Kuaishou keeps firm control of the business after the round. It will hold two-thirds of Kling’s equity and 52.45% of the voting rights in the AI video maker through its Lucky Labs holding vehicle.
The details behind the raise
This is Kling’s second giant round in quick succession. In July, Kling raised $2.8 billion in a round that drew in Alibaba and Tencent and valued the company at $15 billion before the new money.
Among the new investors in this latest round, a unit of Hong Kong-listed Kingdee International invested 300 million yuan, Gongqingcheng Junke put in 200 million yuan, and a unit of Shanghai-listed MetaX added 100 million yuan. Reuters reported that the new investors partially took over other investors’ commitments and received redemption rights as part of the deal.
Why it matters
Kling competes directly with the AI video generation models of OpenAI, Google and TikTok owner ByteDance — one of the most compute-hungry and expensive corners of AI, where staying competitive means burning serious money on training and inference. Raising roughly $5.8 billion across two rounds in a matter of months shows Kling intends to stay in that fight at full scale. Bloomberg News reported earlier this month that Kling is planning an IPO next year, which would make it one of the first pure-play AI video companies to test the public markets.
For creators and businesses picking a video tool, the practical takeaway is simple: the funding war is good news for users. Well-funded rivals keep shipping better models — Kling 4.0 went fully public earlier this month, with clips up to 30 seconds and keyframe control (see our Kling 4.0 coverage) — and competing hard on price. Everything AI, tested: we will be watching whether the IPO filing, when it comes, shows revenue that matches the hype.
Frequently asked questions
How much did Kling AI raise?
About 19.8 billion yuan, or $2.98 billion, in a round Kuaishou announced as completed on October 30, 2026.
Who owns Kling AI?
Kling is a unit of Kuaishou. After this round, Kuaishou holds two-thirds of Kling’s equity and 52.45% of its voting rights through its Lucky Labs holding vehicle.
Is Kling AI going public?
Bloomberg News reported earlier in October that Kling is planning an IPO next year, citing people familiar with the matter. No listing terms have been announced.
Sources: Reuters