The global AI race is becoming increasingly expensive as companies spend more on computing power, data centres, chips, and specialised talent.
DeepSeek, which gained global attention for developing capable AI models at a lower reported cost than many U.S. rivals, is now taking early steps towards a Shanghai listing that could give it access to public capital.
The Hangzhou-based company has appointed CITIC Securities to prepare for a possible initial public offering on Shanghai’s technology-focused STAR Market, according to Reuters.
It also plans to name GL Ventures partner Yan Wentao as its first chief financial officer, another move that would strengthen the financial controls and investor relations work required for a listing.
However, DeepSeek has not officially filed an IPO application. The company reportedly aims to begin the process in 2026, but the timetable, amount to be raised, and listing valuation have not been decided.
Where the $74 Billion Figure Comes From
The widely reported $74 billion valuation relates to DeepSeek’s latest private fundraising plans, rather than a confirmed IPO price. Reuters reported in July that the company was seeking to raise as much as 50 billion yuan in a round that would value it at about 500 billion yuan, then equal to roughly $74 billion.
That followed a June funding round in which DeepSeek raised about $7.4 billion at a post-money valuation above $50 billion. Founder Liang Wenfeng, Tencent, and battery maker CATL were among the largest contributors, according to the report.
The back-to-back funding plans mark a major change for DeepSeek. Since its creation in 2023, the company had largely relied on Liang’s quantitative hedge fund, High-Flyer, and had avoided outside investment.
Its move towards external funding and a possible IPO shows how even companies known for lower-cost AI development need more money to remain competitive.
Why DeepSeek Needs More Capital
DeepSeek is increasing spending on computing infrastructure, model development, staff, and its own AI chips. The company has also sought to double its workforce across areas including data centres and AI agents, while competing with ByteDance, Alibaba, Moonshot, MiniMax, and Z.AI for skilled researchers.
The proposed listing could help finance that expansion and offer stronger incentives to retain employees. It would also require DeepSeek to operate with more formal financial reporting, governance, and public disclosure than it needed as a privately funded research lab.
China’s AI Companies Are Turning to Public Markets
DeepSeek’s plans come as AI developers seek larger pools of capital to fund costly infrastructure. Chinese rivals Z.AI and MiniMax listed in Hong Kong earlier in 2026, while Moonshot AI has reportedly filed confidentially for a Hong Kong IPO.
A DeepSeek listing would bring one of China’s best-known AI companies into the public market. For now, though, the next milestone is an actual filing.
