Group 1 - The presence of overseas venture capital (VC) in China's startup industry is declining, with the proportion of funding raised in US dollars dropping to less than 15%, down from a peak of 50% [2][4] - Government funding is actively filling the gap left by decreasing foreign investment, providing support for the competitiveness of Chinese enterprises [2][4] - The Chinese startup ecosystem is increasingly supported by government involvement, with government-backed investment companies participating in 16% of new enterprise financing from January to March 2025 [4] Group 2 - Zhiyuan AI, originating from Tsinghua University, is preparing for its initial public offering (IPO), backed by major Chinese IT giants and government funds from Beijing and Shanghai [4] - The US Department of Commerce has placed Zhiyuan AI on a list effectively subjecting it to embargo measures, citing support for the modernization of the Chinese military, which may complicate the procurement of advanced semiconductor chips [4] - The financing environment for Chinese startups has changed, with a significant shift towards domestic currency (RMB) investments, as evidenced by the $6.6 billion raised in US dollar-denominated funding from January to August 2025, accounting for less than 15% of total financing [4]