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TL;DR
Several news organizations report that DeepSeek has closed a funding round of about 100 billion yuan, or roughly $15 billion; The Information puts it at 106 billion yuan, about $15.9 billion. DeepSeek has not publicly confirmed the round, and reports differ on its size and whether state-backed institutions led it.
DeepSeek reportedly closed a second funding round worth about 100 billion to 106 billion yuan—roughly $15 billion to $15.9 billion—according to reports published from October 22 to October 30. The Chinese AI company has not publicly confirmed the deal, and accounts differ on the final amount and the role of state-backed investors.
Bloomberg, Reuters and The Wall Street Journal reported on October 22 that DeepSeek had raised about 100 billion yuan. Reuters, citing four people, described the round as still “wrapping up” at that point. The Information reported on October 23 that the round had closed at 106 billion yuan, citing three people. The Information published further details about investors on October 30. The figures have not been confirmed by DeepSeek.
The reports generally place the company’s pre-money valuation at about 500 billion yuan. Bloomberg and Reuters identify battery maker CATL and Tencent among the largest investors. Reuters also names Midea, Meituan, Geely and chipmaker GigaDevice, along with existing shareholders NetEase and IDG Capital and investment firms Boyu Capital, CPE and Legend Capital. The reported investor group includes more than 15 participants.
The Information’s account says the round included Chinese technology investors and state-backed institutions. Newsletter summaries of that report describe the state chip fund, often called the “Big Fund,” as leading the round with 27% state capital. That specific claim has not been independently corroborated in the other reports described here, and the available information does not establish the final ownership breakdown.
Infographic 01 · Two rounds in six months
From self-funded to $74 billion.
DeepSeek took no outside money until 2026. Then came two rounds, a paused deal and a U.S. order, all in six months.
How the price moved
Reported valuations, U.S. dollars
The striped bar is my calculation (about 600 billion yuan), not a reported figure. Exchange rates vary between outlets.
Who owned DeepSeek after round 1
Share of registered capital, July 2026, as reported by Caixin
Registered capital is not the same as economic value. The October round is not yet in any reported filing.
- 22 Apr 2026Tencent and Alibaba in talks, valuation above $20 billionThe Information · first round, talks only
- 16 Jun 2026Round 1 closes: more than 50bn yuan ($7.4bn), “unusual deal structure”The Information · Liang 20bn, Tencent ~10bn, CATL 5bn yuan (Reuters, Caixin)
- 25 Jul 2026Round 2 paused after a purported investor transcript went viralBloomberg
- 6 Oct 2026Round may double to 100bn yuan; state-backed funds and companies “jostling”CNBC
- 20 Oct 2026U.S. order: DeepSeek products out of federal civilian ITDHS, Federal Register 2026-21447
- 22 Oct 2026About 100bn yuan raised · Reuters: “wrapping up”, “not ironclad”Bloomberg, Reuters, WSJ
- 23 Oct 2026Closed at 106bn yuan ($15.9bn), three people sayThe Information
- 30 Oct 2026Investor details: tech titans and “state-backed institutions”The Information
Sources: The Information, 22 Apr 2026; The Information, 16 Jun 2026; The Information, 23 Oct 2026; The Information, 30 Oct 2026; Reuters, 22 Oct 2026; Bloomberg, 22 Oct 2026; WSJ, 22 Oct 2026; CNBC, 6 Oct 2026; Caixin, 17 Jul 2026; DHS order, Federal Register, 20 Oct 2026. Arithmetic marked as mine.
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What the Funding Could Change
If the reported figures are accurate, the round would give DeepSeek a substantial pool of capital as it competes in a field where leading AI developers spend heavily on computing infrastructure, research and product development. The reported valuation of about 500 billion yuan before the new investment would also mark a major increase from the valuation implied by filings after the company’s first outside round.
The development stands out because DeepSeek had built its profile while being funded by its owner, the hedge fund High-Flyer, and presenting its models as comparatively economical. Outside investment at this scale could bring more resources and a broader investor group, while raising questions about who will influence the company and how its ownership may change. Those consequences cannot yet be assessed from the reported round size alone: DeepSeek has not confirmed the deal, its terms or investor stakes.
For businesses, the funding report does not itself change how DeepSeek’s products work or the terms on which its models are available. The source material says the model weights remain under a permissive MIT licence and can be run on a company’s own servers. It also says DeepSeek’s app and API store data in China, and that a U.S. government order dated October 20 requires federal civilian agencies to remove DeepSeek products from their IT systems. Organizations should distinguish between using downloadable model weights on their own infrastructure and using DeepSeek’s hosted services; the funding news does not settle questions about data handling or agency compliance.
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DeepSeek’s Two Funding Rounds
The reported second round followed DeepSeek’s first outside financing, which The Information said closed in June at more than 50 billion yuan, or $7.4 billion, and a valuation above $50 billion. A July report by Caixin, based on a stock-exchange filing by a small listed investor, put the first round’s post-money valuation above 350 billion yuan, about $52 billion. Reuters and Caixin reported investments by Tencent, CATL and founder Liang Wenfeng, among others.
Some headlines about Tencent and Alibaba refer to an earlier stage, not the round now being reported. The Information reported on April 22 that the two companies were in talks to invest at a valuation above $20 billion, before DeepSeek’s first outside round. In the reporting summarized here, Alibaba does not appear in the disclosed investor lists for either completed round. The June financing and October reports are separate developments, and their amounts should not be combined as if they were one deal.
After the June round, Caixin reported that the National AI Industry Investment Fund held about 0.28% of DeepSeek. The same account put roughly 91% of registered capital under Liang’s control, directly or through a partnership he controls. Those figures describe the last reported register, not the ownership structure after the new round; no registry change for the October financing had been reported by October 30.
“The round had closed at 106 billion yuan.”
— The Information, citing three people
The Amount and Ownership Remain Unclear
DeepSeek has not publicly confirmed the financing, its closing date, its terms or the names and stakes of investors. Reported totals differ: Bloomberg, Reuters and The Wall Street Journal put the round at about 100 billion yuan, while The Information reports 106 billion yuan. The difference may reflect rounding or different information about the deal, but the available accounts do not explain it.
The claim that the state chip fund led the financing and supplied 27% state capital appears in summaries of The Information’s report, but the source material says it could not be verified and that no second outlet reported it. The reported presence of state-backed institutions does not by itself establish that they led the round or indicate the extent of government influence.
Another figure attributed to investor remarks is DeepSeek revenue at an annualized pace of $1 billion. The Wall Street Journal and The Information reportedly said Liang gave that figure to investors in September. It is a reported statement, not an audited result, and the information available here does not specify the underlying period, calculation or revenue mix. The company’s post-round ownership and any changes to Liang’s reported control also remain unknown.
Watch for Filings and Company Comment
The main developments to watch are a public statement from DeepSeek, more detailed reporting on the financing terms and any updated corporate filings that show changes in registered ownership. Such filings could help clarify whether the round closed at 100 billion or 106 billion yuan, which investors participated and how the reported pre-money valuation was calculated.
Until those details emerge, the funding and investor claims should be treated as media reports rather than company-confirmed disclosures. For users and businesses, the reported investment does not in itself announce a change to DeepSeek’s app, API or model licence. Organizations using its hosted services or model weights will need to evaluate those routes separately, including applicable data and government-use requirements.
Key Questions
Has DeepSeek confirmed that it raised $16 billion?
No. The source material says DeepSeek had not commented publicly by October 30, 2026. Multiple outlets reported a round of about 100 billion yuan, while The Information put it at 106 billion yuan, or about $15.9 billion.
Who reportedly invested in the round?
Bloomberg and Reuters named CATL and Tencent among the largest investors. Reuters also listed Midea, Meituan, Geely, GigaDevice, NetEase, IDG Capital, Boyu Capital, CPE and Legend Capital. The investor list and individual stakes have not been confirmed by DeepSeek.
Did a Chinese state-backed fund lead the financing?
That claim appears in summaries of The Information’s report, which said state-backed institutions took part. The claim that the state chip fund led the round with 27% state capital is not corroborated by another outlet in the available reporting, so the fund’s role is not established.
Does the funding report change how people can use DeepSeek?
No product change is reported as part of the financing news. The source material says DeepSeek’s model weights remain under a permissive MIT licence, while its own app and API store data in China. It also reports that a U.S. order requires federal civilian agencies to remove DeepSeek products from their IT systems.
Source: ThorstenMeyerAI.com
