Nearly 100 million yuan in funding secured, but domain name still unavailable: Xspark AI's "digital identity" dilemma.

When an AI company secured nearly 100 million yuan in angel round funding, ready to make a big push, it discovered that its "name"—xspark.ai—was already taken, and xspark.com was still up for sale with a domain broker. This isn't an isolated case, but rather a "digital identity" challenge that AI startups are collectively facing.

I. Nearly 100 Million Yuan in Funding: A Rising Star in the Physical AI Sector

On July 10, 2026, Xspark AI (无界智航), a trusted physical intelligence company, announced the completion of its first round of angel round funding, raising nearly 100 million yuan. This round was jointly led by CDH VGC, Chuxin Capital, and SEE Fund, with participation from several financial investment institutions including Shenzhen Angel Fund of Funds and Tsinghua Alumni Seed Fund, as well as industry players such as Beiyang Haitang Fund and Xtep Home Furnishings. The funds will primarily be used for core technology R&D, product iteration, and the large-scale deployment of Physical AI.

Founded in 2025 and headquartered in Shenzhen, Xspark AI has R&D centers in Shanghai and Beijing. The company was co-founded by Xiong Qi, a former core executive at NIO's autonomous driving division; Ding Wenbo, a tenured associate professor at Tsinghua University; and Chen Tianxing, a PhD student at the University of Hong Kong's MMLab. The team covers multiple areas including autonomous driving, computer vision, world modeling, and robotics.

This is a typical AI startup story of "star team + hot track + capital support." However, behind this glamorous funding news lies a detail that is easily overlooked—the domain name.

II. Domain Name Dilemma: xspark.ai Occupied, xspark.com for Sale

From a domain name perspective, Xspark AI's current situation can be summarized in one word: difficult.

xspark.ai: Currently occupied by a South Korean AI advertising video company specializing in AI-driven advertising video generation. The core brand term "xspark" is completely identical. For Xspark AI, this domain name has already been preemptively registered and used by a competing South Korean company.

xspark.com: Currently held by the US domain brokerage eWebDevelopment, its page displays "Ready For Development," offering domain purchase or leasing services. This means that if Wujie Zhihang wants to acquire xspark.com, it needs to conduct commercial negotiations through a domain broker, with prices ranging from $29 per month (leasing) to potentially six or even seven figures (purchase).

This is a typical awkward situation of "funding secured, but digital identity not yet in place."

III. The "Domain Anxiety" of AI Companies: Not an Isolated Case

Xspark AI's domain dilemma is not an isolated case. Looking back at AI company funding and domain case studies in the past two years, a clear pattern emerges:

Etched: After funding in 2024, it started with etched.ai and later acquired etched.com to complete its brand upgrade. The migration from .ai to .com was not only a change in domain selection but also a shift in brand perception from "AI startup" to "industry infrastructure."

LinqAlpha: After completing funding in Q1 2026, its core domain linqalpha.ai is still for sale, priced at $48.888. Funding is secured, but domain name assets are not yet allocated.

Xspark AI: Nearly 100 million RMB in angel round funding, but xspark.ai is already taken by a competitor, and xspark.com is for sale.

These cases reveal a common problem: AI companies often face the dilemma of ".ai is already taken" or ".com is unavailable" when choosing domain names.

IV. Why do AI companies always "can't get good domain names"?

The answer to this question lies in the underlying logic of the domain name industry:

1. Good domain names have already been registered.

.com domain name registration began in 1985, more than 40 years ago. All meaningful English words, common brand names, and short letter combinations worldwide have long been registered. When AI companies are founded, the domain names they want are often already in someone else's hands.

2. The rise of the .ai suffix has brought about a new "registration frenzy".

With the explosion of the AI ​​industry, .ai (Anguilla's country code domain) has become the preferred suffix for AI companies. Between 2023 and 2025, a large number of high-quality .ai domain names were registered rapidly. Founded in 2025, Xspark AI's xspark.ai domain was already occupied by earlier entrants.

3. Domain Brokers' "Waiting for the Best Buyer" Strategy

Domains like xspark.com, once held by professional brokers such as eWebDevelopment, are often listed as "under development" or "for sale," awaiting a suitable buyer. When a company like Xspark AI, which is seeking funding, emerges, the broker will price it based on the company's funding scale and brand needs, often far exceeding the registration cost.

4. High Ties Between Brand Name and Domain Name

AI companies often determine their brand name (e.g., Xspark) first, then look for a corresponding domain name. However, domain name registration is "first-come, first-served," and the brand name is often determined later than the domain name registration. This creates the dilemma of "the brand is decided, but the domain name is gone."

V. The Strategic Significance of Domain Name Assets

For Xspark AI, which has secured nearly 100 million yuan in funding, a domain name is more than just a website address; it is:

The infrastructure for brand awareness: When users search for "Xspark AI," they expect to see xspark.ai or xspark.com, not xsparks.ai (competitors) or xspark.com (the "for sale" page). Domain name mismatch dilutes brand awareness.

A vehicle for trust endorsement: For a Physical AI company, "trustworthiness" is its core selling point (the company calls itself a "trustworthy physical intelligence enterprise"). If the official website domain name is not the brand's main domain name, it will affect user trust.

A ticket to international expansion: Xspark AI's technology roadmap covers multiple directions including autonomous driving, world models, and robotics, and it collaborates with companies in the industry chain such as NVIDIA, Logic Robotics, and ByteDance. A clean .com or .ai domain name is a basic requirement for building a brand in the global market.

VI. In Conclusion

Xspark AI's nearly 100 million yuan funding story is a microcosm of the capital enthusiasm in the Physical AI sector. But behind this glamorous funding news, the domain name dilemma reminds us that the development of "digital identities" for AI companies often lags behind technological and capital advancements.

For Wujizhihang, the next challenge may not be technology or product, but rather acquiring a name commensurate with its nearly 100 million yuan valuation. With xspark.ai already taken and xspark.com up for sale, this battle for "digital identity" has only just begun.

For domain name investors, funding news from AI companies often serves as a barometer for domain name acquisition demand. Closely monitoring funding news and proactively securing domain names could mean the next "Xspark" is on its way.