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2mo ago

DeepSeek Seeks $7.4 Billion Round to Reach $74 Billion Valuation

The raise would bankroll a planned compute and R&D build-out as DeepSeek lines up advisers for a Shanghai IPO next year.

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In the latest round, existing shareholders—including investment firms Monolith Management and Shixiang, as well as Chinese battery giant Contemporary Amperex Technology—are set to inject new capital into the AI startup.

Overview

  • Late August reports say DeepSeek is pursuing about $7.4 billion in new funding that would peg its valuation near $74 billion as it moves toward a mainland listing.
  • Existing strategic backers including Monolith Management, Shixiang and battery maker CATL are reported to be among investors, and some local government‑linked funds are expected to participate.
  • People familiar with the company told reporters DeepSeek has about $500 million in annual recurring revenue, a figure the company has not publicly verified.
  • A surge in demand after recent V4 model releases strained capacity, forced price increases and prompted the company to plan a major expansion of data‑center and chip spending.
  • DeepSeek began inside Liang Wenfeng’s High‑Flyer Quant and has used pre‑IPO allocations to build ties with hardware and robotics firms; the shift to large outside financing is aimed at funding infrastructure, retaining engineers and readying the company for an onshore IPO.