When Moore Threads launched its IPO on the STAR Market in Shanghai, the offering — reportedly for about US$1.1 billion — saw demand far surpass supply: the IPO was subscribed 4,126 times almost immediately.
- Bids reportedly totalled some US$4.54 trillion — a figure so colossal it exceeds even the market valuation of some major global GPU firms.
- The surge came largely from retail investors, and underscores massive confidence and speculative demand for a domestic alternative to foreign GPU suppliers.
Why Moore Threads Attracted So Much Interest
- Timing & geopolitics: With increasing export controls on Western semiconductor technology, demand for locally produced high-performance GPUs in China has surged. Moore Threads positions itself as a home-grown GPU maker aiming to fill that gap
- Investor appetite for AI chips: Amid global AI boom and hardware demand, many investors see GPU makers as high-reward, high-growth plays. Moore Threads fits that narrative.
- Backing & pedigree: Founded in 2020 by former NVIDIA-China executives, Moore Threads has legitimacy among domestic investors. It already released multiple GPU architectures and aims to scale up despite current losses.
Financials & Company Background — Growth, Losses, And Ambitions
- Moore Threads’ IPO priced each share at 114.28 yuan, giving it a valuation around 53.7 billion yuan (~US$7.5 billion). The IPO raised approximately 8 billion yuan in fresh funds.
- However, the company is not yet profitable: in the first half of 2025, Moore Threads reportedly posted a net loss of 271 million yuan on revenue of 701.8 million yuan.
- The heavy losses come from ongoing R&D, production ramp-up, and ambitions to break into high-performance GPU market — a long-term bet on scaling and demand, rather than immediate profits.
What This Means for Global & Chinese GPU Markets
- Moore Threads’ IPO frenzy signals strong domestic investor confidence in Chinese semiconductor and AI-hardware firms — indicating growing appetite for “Made-in-China” tech amid global chip supply disruptions.
- For global players like NVIDIA, this marks increasing competition in China — a major GPU market. Local alternatives like Moore Threads may erode some demand, especially among Chinese customers wary of import restrictions or supply uncertainty.
- The success could open doors for other domestic GPU or AI chip makers — boosting innovation, competition, and possibly helping China reduce dependence on foreign silicon.
Risks & What to Watch — Why the Hype Doesn’t Guarantee Success
- Despite the IPO popularity, Moore Threads remains unprofitable. Turning revenue into profit will depend on ability to scale production, demand stability, and maintaining competitiveness against global GPU architectures.
- High valuation (post-IPO valuations and investor hype) assumes future success. If market demand or technical execution lags, stock may face volatility.
- Global-tech access issues: With Moore Threads on some trade-restrictive lists (due to export restrictions), access to advanced manufacturing tools might remain an obstacle, possibly hampering development compared to global rivals
What Comes Next — What to Watch
- First trading day after listing: will investor enthusiasm translate into share price gains and stable trading?
- Company’s roadmap: Can Moore Threads deliver advanced GPU chips that compete realistically with global alternatives? Its R&D output and product adoption in AI workloads will matter.
- Broader impact: If Moore Threads succeeds, other Chinese AI-hardware firms may get easier capital flows, reshaping global GPU supply dynamics — potentially benefiting China’s drive for semiconductor self-reliance.
Conclusion
The Moore Threads IPO 4,126× subscription is a remarkable event — showing investor faith in China’s home-grown GPU ambitions and signaling huge demand for domestic alternatives to global chip giants. Yet, the path ahead remains challenging: profitability, technological maturity, and global competitiveness are uncertain. For now, Moore Threads stands as a bold bet — one where high hopes meet substantial risk.
