DeepSeek wrapping up $15b fundraising to fuel AI race, sources say

Chinese AI startup DeepSeek is nearing the completion of a $14.98 billion (100 billion yuan) fundraising round, significantly exceeding its initial target of $7.49 billion (50 billion yuan), indicating strong investor confidence. Key investors in this round include major Chinese companies such as chipmaker GigaDevice, food delivery giant Meituan, automaker Geely, battery maker CATL, and WeChat operator Tencent Holdings, with Midea and NetEase also participating. This substantial investment, which values DeepSeek at $74.9 billion (500 billion yuan) pre-capital injection, underscores China's strategic efforts to remain competitive in the global AI race against the US. The successful fundraising positions DeepSeek closer to a potential public market debut, with the company having previously aimed for an IPO process this year on the STAR Market. The development also comes amid broader concerns in the market regarding high AI spending and its impact on global tech stocks, although analysts highlight DeepSeek's open-source strategy and its potential integration into domestic tech supply chains as key attractors for investors.