Beijing, February 19, 2025 – Chinese AI startup DeepSeek is considering its first-ever outside funding round, attracting interest from major investors including Alibaba and leading state funds, according to sources cited by The Information.
DeepSeek, which stunned the tech industry in January with its low-cost AI models capable of matching or even outperforming Western rivals, is now under pressure as a surge in demand has led to outages. The growing need for additional AI chips and servers to support rapid usage and further model development has prompted the small startup to explore external capital.
Sources with knowledge of internal discussions revealed that state-backed investors such as China Investment Corp and the National Social Security Fund have reached out to DeepSeek regarding potential investment. While Alibaba and DeepSeek have not immediately responded to requests for comment, these moves signal a broader interest in supporting cutting-edge AI technologies amid intensifying global competition.
Executives at DeepSeek, along with its hedge fund parent, High-Flyer Capital Management, are reportedly discussing a strategic pivot toward building a business model that generates sustainable revenue and, ultimately, profit from research. This development comes at a time when rival OpenAI is planning to restructure its for-profit arm into a public benefit corporation to ease restrictions imposed by its current non-profit parent, thereby increasing its investment appeal.
The timing of DeepSeek’s funding considerations coincides with recent efforts by China to bolster its technological capabilities. Chinese President Xi Jinping recently met with private sector leaders, including Alibaba co-founder Jack Ma and DeepSeek founder Liang Wenfeng, as part of a broader initiative to strengthen the nation’s economy and advance its innovation agenda.
As DeepSeek navigates this potential transition, industry observers will be watching closely to see how the influx of external capital might accelerate its development and help it compete on the global stage.
Trump says U.S. found “major points of agreement” with Iran and has paused strikes on Iranian power plants, but Tehran denies any direc...
In a metro station in downtown Tehran, pictures of Iranian school children alleged to have been killed by&...
Chinese researchers have announced a major breakthrough in lithium battery technology - a development that could significantly improve the per...
Turkish authorities on Sunday arrested a reporter for allegedly spreading false information, sparking small demonstrations by journalists and civil...
As Denmark gears up for a general election on 24 March, opinion polls show a narrow lead for Prime Minister Mette Frederiksen, whose numbers have b...
Alibaba (9988.HK) announced on Wednesday a wide-ranging push into artificial intelligence (AI), unveiling a partnership with Nvidia, a global data centre expansion plan, and new AI products, as it seeks to make artificial intelligence a core business priority alongside its e-commerce operations.
The weirdest and ugliest products sold online in China can now be seen in a new exhibition in Hangzhou.
The model aims to enhance Alibaba’s presence in the generative AI sector and is available as open-source.
OpenAI on Tuesday introduced a suite of new developer tools designed to streamline the creation of advanced AI agents, signaling a strategic move amid intensifying competition from Chinese AI startups.
The pilot and co-pilot of an Air Canada Express regional jet were killed after it collided with a fire truck while landing at New York's LaGuardia airport late on Sunday, in an incident that closed the airport, authorities and U.S. media said.
U.S. President Donald Trump warned that American forces could target Iranian power plants if the strategic Strait of Hormuz remains closed, and Iran, in return, warned that any attack on its energy infrastructure would trigger strikes on regional facilities.
Trump says U.S. found “major points of agreement” with Iran and has paused strikes on Iranian power plants, but Tehran denies any direct talks or negotiations, contradicting U.S. claims - latest on Middle East conflict.
Iran has launched long-range and intermediate-range ballistic missiles towards the joint U.S.-UK military base on Diego Garcia in the Indian Ocean, in what Israeli officials said was a major escalation in the war.
Georgia bid farewell to Catholicos-Patriarch Ilia II on Sunday (22 March). He was considered one of the most influential spiritual leaders in the country’s modern history.
Chinese researchers have announced a major breakthrough in lithium battery technology - a development that could significantly improve the performance, safety and lifespan of batteries used in everything from smartphones to electric vehicles.
NASA’s Perseverance rover has detected what scientists believe may be the underground remains of an ancient river delta on Mars, offering some of the strongest evidence yet that water once flowed across the planet’s surface billions of years ago.
Britain is considering introducing labels for AI-generated content to protect consumers from disinformation and deepfakes, the government said on Wednesday (18 March), as it sets out the next phase of its approach to regulating artificial intelligence.
Chinese electric vehicle giant BYD is pushing to make charging an electric car almost as quick and convenient as filling up a traditional petrol vehicle - a move that could help remove one of the biggest barriers to wider electric vehicle adoption.
South Korea will soon cease to be one of the few countries where Google Maps does not function fully, after its security-conscious government reversed a two-decade-old policy and approved the export of high-precision map data to overseas servers.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment