The DeepSeek funding round is reportedly close to completion, with the Chinese AI lab said to be raising at least 80 billion yuan, roughly 12 billion dollars. Bloomberg News reported the development on Tuesday, citing people familiar with the matter. The company has not announced anything officially, so the details remain unconfirmed.

Bigger Than Planned

DeepSeek initially aimed to raise about 50 billion yuan. According to the report, demand rose after the launch of its latest model, pushing the target higher. The final total could approach 100 billion yuan.

If it goes through at those levels, this round would be larger than the company’s first outside funding earlier this year.

Tencent and CATL Lead the Way

The same two backers from the first round are said to be committing some of the largest sums again. Tencent operates the WeChat messaging app and a major cloud business. CATL makes batteries for electric vehicles and is working on solid-state battery technology.

For Tencent, a closer tie to DeepSeek could help it keep pace with domestic rivals in the AI race, a point Reuters raised in June.

A Look Back at the First Round

The earlier round raised about 50 billion yuan at a valuation between 52 and 59 billion dollars. The investors included:

• Founder Liang Wenfeng, the largest backer, with about 20 billion yuan of his own money
• Tencent, with roughly 10 billion yuan
• CATL, with about 5 billion yuan
• JD.com, NetEase and China’s national AI investment fund

Is an IPO on the Horizon?

Last month, Reuters reported that DeepSeek had picked CITIC Securities to prepare for a possible initial public offering on Shanghai’s STAR Market, a board for technology companies. The timing, valuation and size of any listing have not been decided.

From Hedge Fund to AI Contender

DeepSeek grew out of High-Flyer, the quantitative hedge fund Liang founded. The lab drew global attention around the start of 2025 with its open-source R1 model, and it released its V4 models this year.

What to Watch Next

• An official announcement of the round and its final size
• The valuation attached to the new funding
• Further details on any STAR Market listing plans
• How rivals in China respond with their own fundraising

The Bottom Line

Strong investor appetite suggests confidence in DeepSeek’s latest model and in China’s AI sector more broadly. With big backers returning and a possible listing being prepared, the company looks set for its next major growth phase, though the numbers are not final until DeepSeek confirms them.