DeepSeek secures billions in first funding round

Chinese AI developer DeepSeek has secured over 50 billion yuan (approximately $6.38 billion) in its inaugural funding round, with the company now valued at over $50 billion. The technology portal "The Information" reported Tuesday that the artificial intelligence specialist's valuation reached more than $50 billion.

However, the investment structure is unique. To maintain control by founder and CEO Liang Wenfeng, investors channeled their capital into a holding company managed by Liang, rather than directly into DeepSeek. A company statement was not immediately available, and Reuters could not independently verify the report.

Investors are subject to a five-year lock-up period and are denied voting rights, according to the report. The sole exception is China's state-backed AI industry investment fund, which invested directly in DeepSeek, possesses voting rights, and faces no lock-up period.

Founder Liang contributed 20 billion yuan from his personal wealth, as previously reported by Reuters. Tech giant Tencent is reportedly considering a 10 billion yuan investment, and battery manufacturer CATL a 5 billion yuan stake, making them the largest external backers. DeepSeek is recognized as China's most prominent AI developer, having made headlines in early 2025 with the release of a chatbot that rivaled Western counterparts in performance while demanding significantly less computing power and incurring a fraction of the usual development costs.