SenseTime Shares Plunge Following Co-founder's Death

Tang Xiao’ou's unexpected demise raises questions about the future control of the AI giant amid ongoing US sanctions and accusations of inflated revenues.

• SenseTime Group Inc., a leading Chinese AI firm, saw its shares plunge by as much as 18% following the unexpected death of co-founder and major shareholder Tang Xiao’ou.
• Tang, a pioneer in China’s AI sector, held a 21% stake in SenseTime and his net worth was estimated at $1.1 billion.
• SenseTime's growth has slowed due to intensifying competition and US sanctions, which have restricted its access to capital and crucial US tech components.
• US-based short-seller Grizzly Research accused SenseTime of inflating revenues, a claim the company has denied.
• Tang's sudden death may influence control of the company given the large slice of SenseTime he owns, particularly of the Class A stock he and his three co-founders hold.

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