Chinese AI server maker xFusion has appointed Citic Securities as its investment bank and begun formal IPO preparation following strong 2024 revenue of over 40 billion yuan. The IPO tutoring phase is slated to run from early January through as late as April or May 2026, as the company moves to join a wave of Chinese AI and chip firms listing in Shanghai and Hong Kong amid intensified state backing for domestic technology.

On January 6 2026, regulators across multiple countries were reported to be intensifying scrutiny of Chinese AI startup DeepSeek over data security, privacy compliance and national security risks. Authorities in Australia, the Czech Republic, France, Germany, India, South Korea, Italy, the Netherlands and Taiwan have launched bans, restrictions or investigations, while US officials are weighing export curbs, military blacklisting and further probes into chip access and data practices.

In a survey of 24 enterprise-focused venture capitalists, most respondents indicated that enterprises plan to raise their AI spending in 2026 while concentrating budgets on a smaller set of tools and vendors. The findings suggest a shift away from broad experimentation toward products that clearly demonstrate results, with emphasis on safeguards, data foundations, and post-training optimization. This consolidation could benefit a limited number of AI providers and hurt many startups, especially those competing directly with large enterprise suppliers.

On December 24, 2025, Italy's competition authority AGCM said it issued an interim order directing Meta to suspend a WhatsApp policy that bars rival general‑purpose AI chatbots from the platform. The watchdog warns the conduct could threaten competition in Italy, and Meta also faces a parallel EU antitrust probe triggered after the company's October policy announcement.

On December 23, 2025, global investors were shifting allocations toward Chinese AI stocks as concerns grew about stretched US tech valuations. Policy support in Beijing and a pickup in listings in Hong Kong and Shanghai have drawn interest, with firms such as Alibaba, Baidu, MetaX and Moore Threads cited among the beneficiaries.

On December 16, 2025, Beijing approved China's first two passenger cars with level-three hands-off capability. According to the Ministry of Industry and Information Technology, Changan and BAIC can produce models restricted to designated zones, with limits of 50 kilometers an hour on city roads and 80 kilometers an hour on highways.