AI Funding Surge: DeepSeek Secures $15B Amid US Restrictions

The global artificial intelligence landscape is shifting rapidly as capital continues to flow into major players despite geopolitical friction. In a significant financial move reported by Bloomberg, DeepSeek has secured approximately $15 billion in new funding, a figure that translates to roughly 100 billion yuan.

This round of investment stands out as one of the largest in China’s history. Notably, this capital injection arrives just two days after the United States ordered federal civilian agencies to remove DeepSeek’s AI technology from their systems. The US directive was driven by security concerns regarding the Chinese firm’s tools.

According to the report, the potential investor base for this massive raise includes major Chinese tech and industrial entities. Among the named backers are CATL, a leading battery manufacturer, and Tencent, the company behind the popular messaging platform WeChat. Other unnamed investors are also believed to be part of the deal.

This latest round follows a steady upward trajectory in DeepSeek’s valuation over the past few months. In June, the company raised over $7 billion at a valuation of $50 billion. Subsequently, in July, reports indicated that DeepSeek was seeking an additional $1.5 billion at a valuation near $71 billion, with plans for a potential initial public offering in China as early as next year.

The Hangzhou-based startup is using the new funds to ramp up spending on AI infrastructure and open models. These resources are intended to serve both domestic and international markets, even as the company navigates the current restrictions in the US. Analysts suggest that this expansion could further intensify competition among its domestic rivals in China.

DeepSeek’s move reflects a broader trend of investors pouring billions into AI companies worldwide. The global AI race has attracted significant capital in recent months. For instance, Moonshot AI, the developer of the Kimi model, secured $2 billion at a $20 billion valuation in May. Additionally, Manus AI raised more than $500 million earlier this month.

Public markets are also seeing strong valuations for Chinese AI firms. Zhipu AI and MiniMax, which both went public in Hong Kong in January, currently hold market capitalizations of roughly $29 billion and $7.2 billion, respectively, as of today. These figures highlight the sustained investor confidence in the sector despite external pressures.

DeepSeek was founded in 2023 by Liang Wenfeng, who previously co-founded the quantitative hedge fund High-Flyer. This fund helped finance the early development of the AI startup. The company gained global attention in early 2025 with its free-to-use, open-weight reasoning model, which challenged the dominance of US-based AI companies. Corporate ownership data analyzed by WireScreen indicates that Liang retains an estimated 81.6% stake in the company’s Chinese operating entity following its earlier funding rounds. DeepSeek did not immediately respond to a request for comment.