DeepSeek Raises $7.4 Billion: China Challenges US Sanctions

DeepSeek Raises $7.4 Billion: China Defies US Sanctions

DeepSeek has just completed a record fundraising round of $7.4 billion. While US sanctions on Chinese companies persist, the Chinese tech sector is attracting capital at a rapid pace.

DeepSeek has successfully completed its first fundraising round in its history. The company had never raised a single dollar from external investors since its inception. For three years, the Chinese artificial intelligence company operated solely on the personal fortune of its founder, Liang Wenfeng, according to the CEO. However, the company announced a fundraising of $7.4 billion, the largest ever by a Chinese startup, with a valuation exceeding $50 billion.

US Restrictions as a Boost

The paradox is evident. The United States has increased export restrictions on semiconductors and attempted to limit Chinese companies' access to certain technologies, as is already the case with Huawei. The US aimed to slow down AI development in China, yet it is precisely in this context that DeepSeek decided to build the largest capital reserve in its young history.

This is not an isolated case. External pressure seems to act as an incentive to invest more rather than a deterrent. Beijing now treats companies like DeepSeek as projects of national interest. As a result, investors continue to pour increasingly large sums into them.

A New "Unicorn" Every Five Days

Beyond DeepSeek, the entire Chinese tech ecosystem is experiencing real momentum. According to the 2026 edition of the Hurun Global Unicorn Index, China now boasts 381 unicorns, startups valued at over one billion dollars, compared to fewer than 40 in France.

This is 38 more than a year ago, representing a pace of about one new unicorn every five days, twice as fast as the previous year. ByteDance is also among the top three global Chinese startups.

Humanoid Robots Are Also in the Mix

The humanoid robotics sector is one of the latest areas where this influx of capital is manifesting concretely. Two Chinese manufacturers achieved "unicorn" status this week, with a combined valuation exceeding $2.9 billion, according to Bloomberg.

• AI² Robotics raised nearly five billion yuan, approximately $736 million.
• X Square Robot, supported by Alibaba, ByteDance, and Meituan, has also completed two fundraising rounds and now exceeds 20 billion yuan in valuation, nearly $3 billion.

In total, the sector has already attracted at least 46 billion yuan since the beginning of the year, an amount greater than all investments recorded throughout the previous year.