Tencent, Alibaba in Talks for DeepSeek Stake at $20B+ Valuation
TL;DR
- DeepSeek's valuation jumped from a $10 billion target to above $20 billion within two days of opening its first external round.
- Tencent reportedly offered to acquire up to a 20% stake, but DeepSeek is reluctant to give up that much control.
- Alibaba is also in discussions; its proposed terms have not been disclosed, and no deal has been finalized.
DeepSeek started raising at a $10 billion valuation and finished two days later above $20 billion.
The Information reported that Tencent and Alibaba are both in talks to join what would be DeepSeek's first external round, after years run "entirely self-funded through its parent, Chinese hedge fund High-Flyer Capital Management." Bloomberg confirmed the discussions.
The reported terms: "Tencent has reportedly offered to acquire up to a 20% stake," and "DeepSeek is reluctant to give up that level of control." Alibaba's terms are not public. The round began as a search for at least $300 million at a $10 billion valuation, then "within two days, intense investor interest pushed the asking price above $20 billion."
No deal has closed. The specifics come from a single outlet; headline figures could still change. It joins 303 China AI stories on our tracker over the last 90 days.
Originally reported by theinformation.com
Read the original article →Original headline: The Information: Tencent and Alibaba in Talks to Invest in DeepSeek at $20B+ Valuation