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October 24, 2026
Tech · AI

DeepSeek Secures $15 Billion to Expand AI Infrastructure Amid US Ban

Two days after Washington ordered federal agencies to remove its software, the Hangzhou-based lab secured massive capital to fuel its global growth.

By Juan Gonzalez ·

DeepSeek has raised approximately $15 billion, a sum equating to roughly 100 billion yuan, in one of the largest funding rounds ever recorded for a Chinese technology firm. This significant capital injection occurred just 48 hours after the United States mandated that federal civilian agencies strip DeepSeek’s artificial intelligence tools from their networks due to security apprehensions.

According to reports from Bloomberg, the investment round is drawing interest from heavyweight players in the Chinese economy. Potential backers include CATL, a major battery manufacturer, and Tencent, the tech giant behind the WeChat messaging platform. The scale of this raise underscores the aggressive pace at which investors are deploying billions into AI ventures worldwide to maintain competitive edges in the global race.

This latest financial boost follows a series of rapid capital raises for the Hangzhou-based startup. In June, DeepSeek secured over $7 billion at a valuation of $50 billion. Subsequent reports from July indicated the company was exploring an additional $1.5 billion raise at a valuation near $71 billion, with ambitions for a potential initial public offering in China as early as next year.

The company plans to deploy the new funds toward expanding its AI infrastructure and developing open models for both domestic and international markets. This expansion strategy comes despite the tightening restrictions in the United States. Analysts suggest that DeepSeek’s accelerated growth could further intensify competition among its domestic rivals, forcing them to match the pace of innovation and resource allocation.

The AI sector in China continues to attract substantial investment, signaling a robust market environment. Moonshot AI, the developer behind the Kimi model, raised $2 billion in May at a $20 billion valuation. Earlier this month, Manus AI secured over $500 million. Additionally, Zhipu AI and MiniMax, which both listed on the Hong Kong stock exchange in January, currently hold market capitalizations of approximately $29 billion and $7.2 billion, respectively.

Founded in 2023 by Liang Wenfeng, DeepSeek leverages its origins in quantitative finance to drive its technical development. Liang previously co-founded High-Flyer, a Chinese quantitative hedge fund that provided initial financial support for the startup. The company rose to global prominence in early 2025 by releasing a free, open-weight reasoning model, a move that challenged the established dominance of American AI firms.

Corporate ownership data analyzed by WireScreen indicates that Liang retains an estimated 81.6% stake in the company’s Chinese operating entity following its previous funding rounds. This concentrated ownership structure suggests that the founder maintains significant control over the company’s strategic direction as it navigates the complexities of international expansion and regulatory scrutiny.

DeepSeek has not yet provided an immediate response to requests for comment regarding the new funding round and the concurrent U.S. federal directive. The juxtaposition of the American government’s security measures and the company’s massive capital raise highlights the continuing tension and interdependence in the global AI landscape.

Source: TechCrunch