DeepSeek: China’s AI Startup Eyes Monumental $7.4B Funding at $59B Valuation
In a landmark moment for the global AI race, Chinese artificial intelligence startup DeepSeek is reportedly preparing to raise approximately 50 billion yuan (~$7.4 billion) in its first-ever external funding round. This deal could potentially value the company at between $52 billion and $59 billion, according to sources cited by Reuters and Bloomberg.
The move marks a stunning reversal for a company that built its entire reputation on capital efficiency and the refusal to take outside money. DeepSeek’s V3 and R1 models shocked the global tech world in early 2025 by matching the performance of leading Western AI systems at a fraction of the cost.
Key investors in the round include tech giant Tencent, which is reportedly weighing a 10 billion yuan commitment, and battery manufacturer CATL, evaluating a 5 billion yuan stake. Founder Liang Wenfeng is personally contributing approximately 20 billion yuan — roughly 40% of the total round.
- China’s state-backed national AI investment fund
- Gaming company NetEase
- E-commerce leader JD.com
These entities are also reportedly in advanced discussions to participate.
DeepSeek’s management has told potential investors it will prioritize groundbreaking AI research over short-term commercialization. Founder Liang is committing to continue developing open-source AI models while pursuing the long-term goal of artificial general intelligence (AGI). The round is expected to close within weeks.
Source: CNBC — DeepSeek Fundraising | Yahoo Finance / Benzinga