DeepSeek raises $15B after U.S. security restrictions on its AI models
· Technology · TechCrunch
DeepSeek raised approximately $15 billion (about 100 billion yuan) in one of China's biggest funding rounds, just two days after the U.S. ordered federal agencies to remove the Hangzhou startup's AI technology over security concerns. Potential investors include Chinese battery maker CATL and Tencent, the company behind WeChat, according to Bloomberg. The round follows DeepSeek's June investment of over $7 billion at a $50 billion valuation, and a reportedly planned July round seeking an additional $1.5 billion at a $71 billion valuation. DeepSeek, founded in 2023 by Liang Wenfeng, is ramping up spending on AI infrastructure and open models for domestic and international markets despite U.S. restrictions. Its rapid expansion intensifies competition among domestic AI rivals in China's growing AI sector.
Why it matters
The massive funding signals continued investor confidence in Chinese AI despite U.S. security barriers, potentially accelerating domestic AI development and competition while deepening the technological divide between Washington and Beijing.
Read the original report — TechCrunch
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