China’s robotics sector is heating up and one of its most ambitious startups just took a big leap forward. X Square Robot, a Shenzhen-based company founded in late 2023, announced it has raised around $100 million in fresh funding in an A+ round led by Alibaba Cloud. The round, which also drew backing from investors like HongShan, Meituan, Legend Star, Legend Capital, and INCE Capital, marks the firm’s eighth financing round in less than two years.
Aiming beyond simple tasks
Chief Operating Officer Wang Qian made it clear that X Square Robot isn’t satisfied with machines limited to basic functions such as carrying objects. Instead, the goal is robots capable of autonomously completing complex tasks, whether in homes, hotels, or industrial settings. She emphasised that the robotics industry has reached a turning point: intelligence is no longer optional but essential for expanding a robot’s usefulness.
This belief underpins X Square’s dual focus on software and hardware. The company is developing its own general intelligence foundation model, designed to integrate seamlessly with physical robots. The move positions it as a contender in the global race to merge advanced computing with embodied machines.
Opening the code to the world
X Square Robot released an open-source foundation model for robotics, named WALL-OSS. By making the underlying code freely available, the firm hopes to accelerate progress across the wider robotics community. This is not its first experiment as its earlier WALL-A model was trained to handle multitasking, adapting to new scenarios with minimal additional programming.
According to the company, WALL-OSS is the first of its kind in the robotics sector, signaling a willingness to share breakthroughs while also drawing global attention to its work. Developers and researchers now have a rare chance to build on a foundation usually kept behind closed doors.
Introducing the Quanta X2
Alongside its software push, the startup unveiled the Quanta X2, a wheeled humanoid robot designed for flexible applications. Built on wheels but equipped with hands capable of detecting subtle pressure changes, the Quanta X2 represents a step closer to lifelike dexterity. Its highlight feature, a mop attachment for 360-degree cleaning, highlights the company’s focus on practical, everyday use cases.
Though promising, the Quanta X2 isn’t yet ready for the mass market. Prices currently vary by use case, but research firm Humanoid Guide estimates the robot at around $80,000. For comparison, rival Unitree has priced its humanoids at $16,000, though their sophistication remains unclear. Wang acknowledged that to truly break into households, robots must fall to around $10,000, a milestone X Square expects within three to five years.
Global expansion and IPO ambitions
Despite its early stage, X Square Robot is already generating revenue, supplying robots to schools, hotels, and retirement homes. It has also begun exploring opportunities in Japan and Singapore, signaling broader international ambitions.
Looking ahead, the company is preparing for an initial public offering as soon as next year, though no decision has been made on where it will list. For investors, an IPO could offer a first glimpse into how far the company has come in commercialising humanoid robotics at scale.
Rivals in the humanoid robotics race
Here’s how the X Square Robot stacks up against some of the most prominent humanoid robots in the game:
Tesla Optimus: Elon Musk’s Optimus, also known as the Tesla Bot, is perhaps the most talked-about robot on the planet. Unveiled in prototype form in 2021, Optimus is designed to perform repetitive or dangerous tasks and eventually help with household chores. Standing 5’8” and weighing 125 pounds, it can lift 20kg and walk at around 5 mph. Tesla is pouring considerable resources into making it autonomous with neural net-based control systems. While it’s far more ambitious in scope than Unitree’s R1, it remains in prototype stages and will likely come with a higher price tag and a much longer timeline.
Agility Robotics’ Digit: Digit, developed by Oregon-based Agility Robotics, is already being tested in warehouses and is designed for industrial logistics. With bird-like legs and human-like arms, Digit can walk, climb stairs, and handle packages. It’s being marketed as a helper for last-mile delivery and warehouse tasks. Agility recently partnered with Amazon, which could give. Unlike R1, Digit lacks a head or facial features and doesn’t focus on human interaction, but it’s one of the most commercially viable robots in production.
Boston Dynamics’ Atlas: It is the benchmark in humanoid robotics when it comes to agility and balance. This Atlas has performed backflips, parkour, and dance routines with viral flair. Atlas is research-focused and not for sale, but it’s an awe-inspiring showcase of what dynamic control and mechanical precision can achieve. Unlike the R1, Atlas’s complexity and cost make it impractical for consumer or educational use for now, but it remains a leading figure in humanoid innovation.
Figure 01 by Figure AI: Silicon Valley-based Figure AI has emerged with a bold vision: a general-purpose humanoid robot. Their Figure 01 is sleek, designed for industrial and commercial use, and reportedly nearing pilot deployment. Backed by prominent companies like Microsoft and Nvidia, the company envisions its robots working in factories and, eventually, in homes. It’s more focused on utility than entertainment. Figure’s ambitions lie in creating human-replaceable labor in critical sectors. Still, at an early stage and likely to be expensive, Figure 01 is geared more toward enterprise applications than general users or enthusiasts.
A future of robotic butlers?
Founder and CEO Wang Qian envisions a world where humanoid robots are not just experimental novelties but integrated helpers in daily life. The company has gone so far as to predict that robotic butlers could be a reality within five years. With strong backing, a clear roadmap, and a blend of pragmatism and imagination, X Square Robot is quickly becoming one of China’s most closely watched humanoid players, one aiming to redefine how people and machines coexist.
