DeepSeek is finalizing a funding round exceeding ¥80 billion, equivalent to $11.9 billion. The company previously raised $7.4 billion in its first external round. Tencent and CATL are among the major investors supporting this capital raise, which may ultimately reach ¥100 billion.
Moonshot AI has reached a valuation of $50 billion following its latest private funding round, an increase from the $31.5 billion valuation recorded during the summer. The company is now preparing for a Hong Kong IPO in the first quarter of 2027, aiming to raise up to $5 billion with support from banks including Goldman Sachs and Deutsche Bank.
Both companies report annualized revenue of approximately $1 billion. Investors are currently valuing these firms at 50 to 74 times their revenue, significantly higher than the multiples seen for US-based competitors like OpenAI and Anthropic. DeepSeek’s API business maintains a gross margin of 82.9 percent.
The companies face regulatory scrutiny, as Chinese authorities have initiated data-security investigations into both DeepSeek and Moonshot. Meanwhile, DeepSeek is working with CITIC Securities to explore a potential IPO on the Shanghai STAR Market, though no specific timeline or target size for the offering has been disclosed.
