DeepSeek set for $10 billion raise in first funding round

The news: Chinese startup DeepSeek is expected to raise about 50 billion yuan (AUD 10 billion) in its first funding round from investors including Tencent Holdings, and CATL, according to reports.

The numbers: The funding raise could see DeepSeek valued around 350 billion yuan (AUD72 billion), Bloomberg reported, while Reuters reported a possible valuation of between 350 billion yuan and 400 billion (AUD82 billion).

The context: The funding round marks a move away from DeepSeek’s strategy of not seeking outside capital, which it has held since it came to prominence in early 2025 with its V3 and R1 models.

The expansion of the AI industry beyond open-source chatbot models to AI agents capable of more complex tasks with less human intervention is driving a move for external funding.