DeepSeek Nears $45 Billion Valuation as China’s State-Backed Chip Fund Enters Funding Talks

Anish Dhawan

| May 6 | Funding Feed, Industry & Events

DeepSeek, DeepSeek valuation, China AI, AI startups, China semiconductor fund, China Integrated Circuit Industry Investment Fund, DeepSeek funding, artificial intelligence, Chinese AI companies, AI investment, tech funding, semiconductor industry, frontier AI lab, global AI race, startup funding news

China’s AI race may be entering a new phase, with DeepSeek reportedly moving closer to a valuation of about $45 billion in its first fundraising round.

China Integrated Circuit Industry Investment Fund, the country’s biggest state-backed semiconductor investment vehicle, is in talks to lead the financing, the Financial Times reported, citing four people familiar with the discussions. The investment talks place DeepSeek at the centre of two of China’s biggest technology priorities: artificial intelligence and semiconductor self-reliance.

DeepSeek has emerged as one of China’s most closely watched frontier AI labs, gaining global attention at a time when Chinese technology companies are working under tighter access to advanced chips and rising geopolitical pressure. A successful funding round at this valuation would signal strong state-linked confidence in the company’s long-term role in China’s AI ecosystem.

Also Read: OpenAI Calls DeepSeek ‘State-Controlled’

It is noteworthy that the participation of China Integrated Circuit Industry Investment Fund is particularly meaningful since the investment fund is highly associated with China’s efforts to enhance its own semiconductor industry. The participation of China Integrated Circuit Industry Investment Fund indicates that AI models and semiconductor chips are becoming increasingly interconnected within China.

For DeepSeek, the reported fundraising could give it deeper financial backing as competition intensifies among AI labs globally. For China, it could help anchor a homegrown AI player at a time when the country is trying to reduce dependence on foreign computing infrastructure.

The discussions are still at the talks stage, and the final investment structure has not been confirmed. But the reported $45 billion valuation already places DeepSeek among the most valuable AI companies in China’s technology landscape.

DeepSeek’s reported valuation reflects how China is aligning capital, chips and AI talent around strategic technology companies. If completed, the round would mark a major endorsement of DeepSeek’s position in the country’s AI race and could sharpen competition with global frontier AI players.

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