DeepSeek is reportedly in talks to raise $1.5 billion, then an IPO

Deep Sickthe developer of the large Chinese language model, is preparing for a debut IPO in 2027, but it could come as early as next year.d this year as it is also looking to raise about $1.5 billion in new money at a valuation of about $71 billion. Bloomberg reports. This news comes after the company raised $7 billion in funds Just a month ago, it valued it at about $50 billion in its first-ever external financing round.

The China-based startup, founded in 2023, made headlines early last year after launching artificial intelligence technology that was more efficient and cost-effective than US model makers. Since then its popularity has grown dramatically. In June, it accounted for nearly 23% of all tens of trillions of tokens processed by enterprise-focused AI gateway Vercel, the company reported. This compares to Anthropy getting 32% of the tokens.

DeepSeek continues to show how to use Chinese open source models Performance within a few breaths of the best US AI Labs, despite US export controls on chips. The DeepSeek cloud service runs on chipsets made by Chinese company Huawei Technologies. Investors in DeepSeek include Tencent and Beijing’s National Artificial Intelligence Industry Investment Fund, according to Bloomberg.

DeepSeek could not be reached for comment.