DeepSeek's valuation: $10B → $50B in three weeks, National Big Fund in talks
TL;DR
DeepSeek's valuation jumped four times in three weeks — from ~$10B in early April to potentially ~$50B by May 6. China's National Big Fund is in talks to lead — its first investment in a domestic LLM.
Within three weeks, DeepSeek's valuation has been rewritten four times: early April ~$10B at round opening; April 22, over $20B with Tencent and Alibaba in talks for stakes; May 6, ~$45B with the National Big Fund discussing a lead position; some reports peg the final number at $50B.
Why the National Big Fund matters. The China National IC Big Fund raised ~$47B in 2024, focused on semiconductor equipment and materials. Prior investments are SMIC, Yangtze Memory and similar fab companies. If this round closes, this would be the Big Fund's first public investment in a domestic LLM developer.
Insiders: talks are real, valuation not finalized. Per Shanghai Securities News sources, the negotiation is genuine but the final valuation hasn't been locked. Beyond the Big Fund, several internet majors and other state-affiliated funds are in talks. Final investor list and terms still being negotiated.
Why now. Past year, DeepSeek deliberately held a «no fundraising, no commercialization, no roadshow» stance, relying solely on profits from parent High-Flyer Quant. But this model can't retain talent with stock — five senior researchers have already left, including a chief researcher and core multimodal authors. Founder Liang Wenfeng currently controls ~84.29% of company equity directly and indirectly; sources indicate he'll also invest personally in this round, signaling long-term commitment.
A quant-fund-incubated AI team that became globally known through open-source models, now with the state team itself leading — DeepSeek's geek era is formally over.
via Financial Times
Why the National Big Fund matters. The China National IC Big Fund raised ~$47B in 2024, focused on semiconductor equipment and materials. Prior investments are SMIC, Yangtze Memory and similar fab companies. If this round closes, this would be the Big Fund's first public investment in a domestic LLM developer.
Insiders: talks are real, valuation not finalized. Per Shanghai Securities News sources, the negotiation is genuine but the final valuation hasn't been locked. Beyond the Big Fund, several internet majors and other state-affiliated funds are in talks. Final investor list and terms still being negotiated.
Why now. Past year, DeepSeek deliberately held a «no fundraising, no commercialization, no roadshow» stance, relying solely on profits from parent High-Flyer Quant. But this model can't retain talent with stock — five senior researchers have already left, including a chief researcher and core multimodal authors. Founder Liang Wenfeng currently controls ~84.29% of company equity directly and indirectly; sources indicate he'll also invest personally in this round, signaling long-term commitment.
A quant-fund-incubated AI team that became globally known through open-source models, now with the state team itself leading — DeepSeek's geek era is formally over.
via Financial Times
