DeepSeek raising funds at $10b valuation

Chinese artificial intelligence startup DeepSeek is in talks with investors to raise at least $300 million at a valuation of $10 billion, according to a report published in The Information on Friday, reports Reuters.

The company, whose low-cost models took the AI industry by storm and rattled stock markets last year, has previously turned down multiple funding offers from China's top venture capital firms and tech giants, the report said.

The potential fundraise underscores the intense capital requirements for developing and running top-of-the line AI models.

As a Chinese startup, some U.S. venture capitalists might hesitate about investing in DeepSeek, the report said.

China, meanwhile, has been working to ensure that local firms use domestic processors and reduce reliance on foreign technology.