Deepseek reportedly seeks outside funding for the first time at $10 billion valuation

Deepseek is in talks to raise outside capital for the first time, aiming for at least $300 million at a valuation of $10 billion or more, according to The Information. Until now, the Chinese AI startup has been funded entirely by its owner, hedge fund High-Flyer Capital Management, and has turned down offers from top Chinese venture capitalists and tech giants. Founder and CEO Liang Wenfeng has long positioned himself as a champion of keeping the company free from commercial pressure.

The shift comes as Deepseek faces mounting competition and a talent drain. Luo Fuli, a co-developer of the V3 model, has left for Xiaomi, while Guo Daya jumped to ByteDance. The company's next flagship, V4, has been pushed back several times, in part because engineers are working to make it compatible with Huawei chips. That effort ties into Beijing's push to prop up domestic chipmakers and cut China's reliance on US silicon.