Chinese AI startup DeepSeek is considering raising new capital just one month after closing its first external funding round at a valuation exceeding $50 billion, according to reports from Reuters and Bloomberg. The company has also begun preparations for an initial public offering that could come as soon as this year.
The dual-track strategy — pursuing both private fundraising and IPO readiness — signals ambitious growth plans for the AI lab that upended the global industry in early 2025 with its cost-efficient model architecture. DeepSeek’s first funding round, which raised roughly $7 billion from investors including Sequoia China and Alibaba, was one of the largest maiden rounds in tech history.
The IPO preparations include discussions with accounting firms and investment banks, sources told Bloomberg. DeepSeek would be one of the most closely watched public debuts in the AI sector, offering investors a rare chance to buy into a Chinese company that has demonstrated frontier-level AI capability at a fraction of the cost of US rivals.
DeepSeek has also reportedly warned investors against poaching its talent as it scales. The company’s rapid rise has drawn scrutiny from US regulators concerned about national security implications of Chinese AI advancements.