Huang Xiaoqing, Founder and CEO of Datta Robotics
AsianFin – Datta Robotics, a leading unicorn in China』s humanoid robotics sector, is facing severe financial and operational difficulties.
Over the past year, the company has struggled with salary payment delays and layoffs. Employees disclosed that Datta Robotics initially implemented temporary measures such as halving monthly salaries of above 10,000 yuan (US$ 1,376) to manage cash flows, but the situation escalated to a complete halt in salary payments and the suspension of social security contributions.
Huang Xiaoqing, the founder, Chairman, and CEO of Datta Robotics, told AsianFin on Monday that the company is "operating normally" and plans to release an official statement soon.
Founded in 2015 by Huang, a former head at China Mobile Communications Research Institute, Datta Robotics has secured investments from major players like SoftBank and Foxconn of over 5.4 billion yuan.
The company specializes in a "cloud-based AI + 5G networks + robotic hardware" approach and has developed commercial applications in healthcare, education, and smart cities. In 2023, it was approved by China』s Ministry of Science and Technology to establish the "Cloud Robotics National New Generation AI Open Innovation Platform."
Datta Robotics recently completed its B+ financing round, securing over 1 billion yuan.
However, Datta Robotics has faced increasing financial strain, with reports of delayed salary payments and layoffs coming in early 2024. Public records show that the company was listed as an enforcement target for 21.76 million yuan on March 24. Additionally, it is entangled in over 20 legal disputes, primarily concerning supply chain issues and intellectual property.
Operational difficulties have also become evident. The company』s Guangzhou Huangpu District branch has shut down, with its premises left vacant and utilities cut off for days. Meanwhile, its Shanghai headquarters has reportedly been vacated, with rumors circulating that intermediaries are already renting out the office of the company's chairman.
Datta Robotics' ambitions for an IPO have also been repeatedly thwarted. In 2019, it filed for a listing on the New York Stock Exchange, seeking to raise $500 million. However, U.S. government restrictions on technology transfers from its U.S. R&D unit to its Beijing headquarters, along with concerns over profitability, forced the company to postpone its IPO. A subsequent attempt to list in Hong Kong in 2023 also failed.
Despite these setbacks, on March 17, Datta Robotics signed a strategic cooperation framework agreement with Xiamen Solin Robotics Technology, a subsidiary of the A-share-listed Solin Technology.
Huang declined to comment on the potential capital ties between the two companies.
Investment in China』s humanoid robotics sector has been booming, with total funding exceeding 7 billion yuan in 2024 and an additional 2 billion yuan invested in the first two months of 2025. However, over 80% of this financing has been directed toward hardware technologies such as motion control and joint modules, leading to concerns over the sector』s long-term commercial viability.
Venture capitalist Zhu Xiaohu, Managing Partner at GSR Ventures, recently expressed skepticism about the industry. 「We are exiting humanoid robot companies in batches,」 he said, citing uncertain commercialization prospects
However, Zhang Ying, founder of Matrix Partners China, dismissed Zhu』s concerns. 「Over the long term, the humanoid robot sector will definitely see the emergency of major companies,」 said Zhang.
(Note: 1 USD equals 7.18 yuan)
