Sources familiar with the matter revealed that Zhao Xing, co-founder of Galaxea AI, will be leaving to start his own business. As co-founder and chief scientist of Galaxea AI, Zhao was primarily responsible for Galaxea AI’s humanoid robot technology. In early 2026, Xu Huazhe, co-founder and chief scientist of Xinghaitu, also left to start his own company, which will focus on the embodied intelligence consumer application market.
Currently, Galaxea AI is preparing for its Hong Kong IPO. Zhao Xing’s departure will significantly impact its IPO process. Furthermore, Galaxea AI’s second-largest customer has also started developing its own humanoid robots. This not only means losing a major client’s revenue but also further consolidation in the humanoid robot market, with players in the 3C consumer electronics sector entering the fray.
Galaxea AI’s second-largest customer is a leading mobile phone manufacturer. Leveraging its hardware capabilities accumulated in 3C consumer electronics, the manufacturer not only developed its own humanoid robot but also won a championship in a robot marathon. Mobile phone manufacturers possess stronger hardware capabilities; for example, in addressing the industry-wide headache of heat dissipation, this leading mobile phone manufacturer, with its accumulated heat dissipation technology in 3C products, has solved the heat dissipation problem much better than embodied robot companies. It’s safe to say that the avatar industry will be incredibly competitive this year, as players with significantly stronger hardware capabilities have entered the fray.
As is well known, the avatar industry has undergone three major data transformations in 2025, from Yamato to Umi to Ego. In terms of models, it has evolved from the initial VLA to VLA and world models operating in parallel, and the emergence of native multimodal large models, among others.
While avatars are still in their early stages, primarily showcasing technological demos, new technologies emerge in data and models every few months. This requires industry players to maintain a keen sense of opportunity, quickly recognizing and adapting to new technologies to avoid falling behind.
However, this leading avatar company failed to react quickly enough and kept pace with industry changes. In early 2026, while other players were heavily investing in Umi or Ego data, this leading avatar company was still betting on Yamato. This bet was based on its desire to launch an IPO, which requires substantial revenue, currently achieved through selling more avatar robots. Galaxea AI lacks the performance scenario capabilities of companies like Unitree and Calcium Cloud, which require product and distribution capabilities. For Galaxea AI, its primary sales scenario is data acquisition, specifically digital data acquisition for mobile devices. Therefore, in its pursuit of an IPO and increased revenue, it’s betting heavily on mobile devices.
However, although lagging behind the leading companies in terms of pace, this hasn’t affected Galaxea AI’s fundraising. This year’s fundraising has been like a flood, with investors flocking to players large and small. Having secured a leading position early on, the company successfully completed a multi-billion yuan funding round.