Domestic AI chip unicorn Suiyuan Technology's STAR Market IPO registration takes effect.

On July 9, the official website of the Shanghai Stock Exchange showed that the registration status of the IPO on the STAR Market of Shanghai Enflame Technology Co., Ltd. has been changed to effective registration. Under the coordination of the lead underwriter CITIC Securities, this chip company, which took less than half a year from acceptance to effective registration, is about to officially enter the public market.

This means that Moore Threads, Muxi Inc., Biren Technology, and Enflame Technology—the four startups known as the "Four Little Dragons of Domestic GPUs"—are all about to enter a new stage of capitalization.

In terms of business strategy, Enflame Technology focuses on the development of cloud-based AI chips and intelligent computing clusters, aiming to provide the underlying computing infrastructure for artificial general intelligence. Unlike many peers that use GPGPU architecture, Enflame Technology has chosen a full-stack self-developed DSA (Domain-Specific Architecture) route and launched the "YuSuan" software platform.

This differentiated technical path has to some extent avoided direct competition with the mainstream ecosystem, but it also implies extremely high upfront R&D costs and barriers to ecosystem building.

Financial data disclosed in the prospectus shows that Enflame Technology is still in a commercialization stage of high investment and high losses.

From 2023 to 2025, the company's revenue maintained growth, reaching 301 million yuan, 722 million yuan, and 990 million yuan respectively. However, the net losses attributable to shareholders of the parent company were 1.66B yuan, 1.51 billion yuan, and 1.16B yuan respectively, with a cumulative loss of over 4.3 billion yuan over three years.

High R&D spending is the core reason for the losses. During the reporting period, its R&D investment reached 1.23B yuan, 1.31B yuan, and 1.14B yuan respectively, with the three-year R&D investment as a percentage of revenue far exceeding 100%.

In addition to the ongoing pressure of losses, Enflame Technology's high dependence on a single customer is a core risk factor in its fundamental business. Tencent is not only the largest shareholder of Enflame Technology, holding a total of 20.26% of shares, but also its largest customer. Data shows that in 2025, the proportion of Enflame Technology's sales to Tencent reached as high as 83.79%.

Furthermore, the company's cash flow and asset side also face practical challenges. From 2023 to 2025, Enflame Technology's net cash flow from operating activities was consistently negative, with a cumulative net loss of over 4.3 billion yuan over three years.

As of the end of 2025, the company's inventory balance reached 863 million yuan, a scale close to the full-year revenue of that year; at the same time, the provision ratio for bad debts on accounts receivable climbed to 24.76%. These financial indicators show that behind the growth in book revenue, the company's collection ability and capital turnover are under considerable pressure.

It is understood that Enflame Technology plans to raise 6 billion yuan through this IPO, mainly for the R&D and industrialization projects of the fifth-generation and sixth-generation AI chips.

For Enflame Technology, obtaining a ticket to the STAR Market has solved its short-term funding needs, but in the increasingly competitive computing chip market, how to gradually break away from its dependence on a single related party for "blood transfusion," improve cash flow, and prove to the market the self-sustaining ability of its business model are long-term challenges it must face after listing.

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