CXMT replaces Tencent as world’s most valuable Chinese company

Chinese memory chip manufacturer CXMT has surpassed Tencent to become the world's most valuable Chinese company. As of Thursday, August 13, CXMT's market capitalisation stands at $524bn, surpassing Tencent's valuation of $510bn, according to Bloomberg. Established in 2016, CXMT produces dynamic random-access memory (DRAM) chips used in mobile phones, PCs, tablets, servers and various consumer products.

Gary Tan, a portfolio manager at Allspring Global, stated that CXMT's achievement signifies that "chips are the new clicks" and predicts the gap between the two companies will widen as agentic AI gains more prominence in internet traffic. This development follows a global trend of organisations investing in chip development and prioritising tech and resource sovereignty, with CXMT reflecting the direction many Chinese entities are taking towards AI and semiconductor initiatives. CXMT's shares have risen by another 8pc following its initial 467pc surge during its debut.