DeepSeek's $15 Billion Raise Lands Days After U.S. Pulls Its Tech
The Chinese AI firm secured a massive funding round just two days after U.S. federal agencies were ordered to strip its software from their systems.
By Jacob Leary ·
Days after Washington moved to pull DeepSeek's technology from U.S. federal civilian agency systems over security concerns, the Chinese AI laboratory announced a massive fundraising haul. The company has secured approximately $15 billion (about 100 billion yuan), marking one of the largest financing rounds recorded within the country's market to date.
The capital influx is being underwritten by prominent corporate entities. Potential backers reportedly include CATL, the Chinese battery manufacturer, and Tencent, the operator of the WeChat messaging platform. This round arrives as the firm intensifies spending on AI infrastructure and open models for both domestic and international markets, a strategy that could further escalate competition among local rivals.
This transaction builds on a period of aggressive financial maneuvering. In June, DeepSeek raised over $7 billion at a $50 billion valuation. By July, reports indicated the company was pursuing an additional $1.5 billion at a valuation of roughly $71 billion, with plans for a potential public listing in China as early as next year. Founded in 2023 by Liang Wenfeng, who previously co-founded High-Flyer, the startup gained global prominence in early 2025 with its free-to-use, open-weight RI reasoning model, which challenged the dominance of U.S. AI companies. Liang Wenfeng retains an estimated 81.6% stake in the Chinese operating entity following the earlier funding round, according to corporate ownership data analyzed by WireScreen.
The valuation placed on DeepSeek reflects broader capital trends sweeping the global technology sector. Investors continue to pour billions into AI companies worldwide, with significant allocations directed toward Chinese developers. Moonshot AI, the company behind Kimi, secured $2 billion in May at a $20 billion valuation, while Manus AI raised over $500 million earlier this month. Public market valuations also remain elevated; Zhipu AI (Z.ai) and MiniMax, both of which listed in Hong Kong in January, carry market capitalizations of approximately $29 billion and $7.2 billion, respectively, as of today.
The stakes for this financing extend beyond mere capital accumulation. The reported funding provides DeepSeek with the resources to expand its operations even as it faces restrictions in the U.S. DeepSeek did not immediately respond to a request for comment regarding the round.
Source: TechCrunch
