DeepSeek nears $12B raise and Moonshot AI hits $50B valuation ahead of early-2027 IPOs

#What happened

DeepSeek is nearing a funding round of at least $12 billion, backed by Tencent and battery maker CATL, ahead of a planned IPO in early 2027. Investor demand could push the raise to around $15 billion, exceeding its initial target, according to a Bloomberg report cited by CoinDesk (published Oct 6, 2026, 5:25 a.m. EDT).

The financing follows the release of DeepSeek's V4 Flash model, which strengthened its competitiveness against OpenAI and Anthropic on cost and performance.

Moonshot AI, the company behind the Kimi chatbot, has completed its final private funding round at a $50 billion valuation. It is targeting a Hong Kong IPO in Q1 2027 that could raise up to $5 billion, with annual recurring revenue expected to reach $2 billion by December — double its current level.

For context, OpenAI is reportedly seeking at least $30 billion at a $1.4 trillion pre-money valuation, with Bloomberg identifying BlackRock and UAE funds as potential contributors of up to $10 billion. Anthropic, meanwhile, is eyeing a November IPO at a potential valuation of around $2 trillion.

#Why it matters

U.S. and Chinese labs are simultaneously chasing multibillion-dollar raises and early-2027 listings, underscoring how tightly the two ecosystems are racing for scale. The financing also reflects investor belief that cost-efficient challengers like V4 Flash can genuinely compete with the frontier-model incumbents.