DeepSeek seeks $10 billion to prioritize research over short-term profit

DeepSeek’s senior management has told potential investors that the Chinese AI startup will put groundbreaking research ahead of short-term profit as it pursues a 70 billion yuan, or about $10 billion, funding round, according to people familiar with the matter. The message, reported by Bloomberg, underscores the company’s push to position itself not just as another chatbot maker, but as a serious contender in the race toward artificial general intelligence, or AGI, the long-term goal of building systems that can perform a wide range of intellectual tasks at human-like levels.

The fundraising talks come as DeepSeek continues to draw attention far beyond China’s technology sector. Founded in 2023 by Liang Wenfeng, who also leads the hedge fund High-Flyer, the company has become one of the most closely watched AI developers in the world after releasing models that gained strong performance recognition and helped fuel debate about how quickly Chinese labs can compete with larger, better-funded U.S. rivals. The company’s emphasis on research suggests it wants investors to support a longer runway for model development, even if commercial returns take time.

That stance fits with Liang’s public reputation as a founder focused on technical breakthroughs rather than rapid monetization. DeepSeek has previously been described as a lean operation built around ambitious model research, and the Bloomberg report indicates senior executives are now telling backers that the company’s next phase will be defined by that same approach. If the round is completed at the reported size, it would give DeepSeek substantial resources to expand compute, talent and model training at a time when costs remain a major barrier in frontier AI development.

The timing also reflects the broader race in artificial intelligence, where startups are under pressure to prove they can turn technical advances into durable businesses. DeepSeek’s approach contrasts with companies that are moving quickly to commercialize products for enterprise and consumer markets. Bloomberg’s report suggests DeepSeek is asking investors to tolerate a more patient strategy, one centered on research milestones and long-term platform value rather than immediate sales growth.

The funding effort also carries weight because of DeepSeek’s growing influence in the global AI conversation. Its models have drawn attention for their efficiency and performance, and any large financing round would likely reinforce the company’s ability to compete with major U.S. labs and other Chinese rivals. For investors, the question is whether DeepSeek’s bet on AGI can translate into a sustainable business while still keeping pace in an industry where the most advanced systems are becoming increasingly expensive to build and run.