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DeepSeek: The hottest AI Startup that’s saying “No” to VC money - for now DeepSeek has taken the AI world by storm, but unlike its rivals, it hasn’t raised a single round of VC funding. While other AI companies secure billions from investors, DeepSeek’s founder,
Liang Wenfeng, is keeping full control.
Why? Here are three key reasons⬇️
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Maintaining Control Liang owns
84% of DeepSeek, with the rest held by affiliates of his hedge fund,
High-Flyer. He’s wary of VCs prioritizing fast profits over long-term AI research. By staying independent, he ensures DeepSeek follows his vision—not investor demands.
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Self-Funding Success DeepSeek doesn’t need outside funding—yet. Liang has fueled the company’s growth using profits from High-Flyer, allowing DeepSeek to operate without financial pressure from external investors. As he put it:
“Money has never been the problem for us; bans on advanced chips are the problem.” ▶️
Trust & Privacy Risks As a Chinese company, DeepSeek faces
strict data laws that already make global expansion challenging. Accepting investments from Chinese entities could deepen concerns, leading to more bans—just like Huawei and DJI faced in the past.
Will DeepSeek take VC Money❔
While DeepSeek has resisted outside investment so far, things might change:
😀 The company recently announced its first
profit margin, signaling a shift toward monetization.
😀 AI development requires
high-end chips, which are expensive and heavily restricted in China.
😀 High-Flyer’s
performance has dipped since 2022, and China’s crackdown on hedge funds adds more uncertainty.
With major players like
Tencent and Alibaba already showing interest, will DeepSeek finally open its doors to investors? Time will tell.
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What do you think - should DeepSeek keep its independence or take the funding to scale faster? ✔️
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