DeepSeek Secures $15B Amid U.S. Scrutiny
The Chinese AI firm closed a massive funding round just days after Washington ordered federal agencies to strip its software from their systems.
By Anna Nowak ·

The rapid escalation of the global artificial intelligence race has placed Chinese innovation at the center of international economic and strategic attention. In a development that underscores the sector's resilience against geopolitical friction, DeepSeek has reportedly secured approximately $15 billion in new capital. This sum, equivalent to roughly 100 billion yuan, represents one of the largest funding rounds in the country’s history and marks a significant consolidation of resources for the Hangzhou-based startup.
The timing of this financial injection is particularly notable given the immediate regulatory pressure from the United States. According to reports from Bloomberg, the funding was finalized just two days after Washington ordered federal civilian agencies to remove DeepSeek’s technology from their systems. This mandate was issued over security concerns, suggesting that the U.S. government views the AI provider as a potential vulnerability within its digital infrastructure. Despite this official retreat by American federal entities, private and public investors in China appear undeterred in their support for the firm.
The reported investor roster includes high-profile names from the Chinese technology and industrial sectors. CATL, a major manufacturer of batteries, and Tencent, the tech giant behind the WeChat messaging platform, are listed among potential backers. Their involvement signals a broad-based confidence in DeepSeek’s long-term viability and market position. This latest round builds upon a trajectory of aggressive capital raising; in June, the company secured over $7 billion at a valuation of $50 billion. Furthermore, in July, DeepSeek was reportedly seeking an additional $1.5 billion at a higher valuation of approximately $71 billion, with ambitions for an initial public offering in China as early as next year.
With this influx of capital, the startup is poised to accelerate its spending on AI infrastructure and the development of open models. These efforts target both domestic and international markets, aiming to maintain competitive parity with Western counterparts despite the restrictive environment created by U.S. policy. The expansion is expected to intensify competition among domestic rivals, forcing other Chinese AI firms to increase their own expenditures to keep pace with DeepSeek’s enhanced capabilities.
This funding event is the latest indicator of a broader global trend where billions are being poured into AI companies to secure dominance in the technological landscape. The sector in China has seen substantial activity recently, including a $2 billion raise by Moonshot AI, the developer of Kimi, at a $20 billion valuation in May. Earlier this month, Manus AI raised over $500 million. Additionally, recent public listings in Hong Kong have seen Zhipu AI and MiniMax achieve market capitalizations of roughly $29 billion and $7.2 billion, respectively, as of this week.
Founded in 2023 by Liang Wenfeng, a co-founder of the quantitative hedge fund High-Flyer which financed the company’s early stages, DeepSeek gained significant global traction in early 2025. Its release of a free-to-use, open-weight reasoning model challenged the prevailing dominance of U.S. AI providers. Following the previous funding round, Liang retains an estimated 81.6% stake in the company’s Chinese operating entity, according to corporate ownership data analyzed by WireScreen. DeepSeek did not immediately respond to requests for comment regarding the latest financial developments.
Source: TechCrunch

