Khaberni - The leading Chinese AI company DeepC is expected to soon close its first foreign funding round, which will raise its valuation to up to $50 billion, according to what was reported by the "South China Morning Post" on Saturday from three sources familiar with the matter.
DeepC is close to closing the funding round with the participation of one of the prominent state-backed investment tools, which is seen as a national technology champion.
The sources said that the funding round is supported by a group of state-linked investors, including subsidiaries specializing in AI, under the third phase of the Chinese Integrated Circuit Industry Investment Fund, according to a report by the Chinese newspaper, reviewed by "Al Arabiya Business".
The sources added that the global investment company "Hillhouse" also participated in the funding negotiations. Tencent, the Chinese gaming and social media giant, also participated in this funding round.
The sources indicated that the final value might change as negotiations continue.
This valuation - five times higher than the initial valuation of $10 billion mentioned by local media last month at the start of the round - reflects the interest of some of the largest state-backed investors in China, and it confirms the increasing importance of DeepC in the intense AI race between the United States and China.
DeepC prioritizes state-backed and industrial investors, including local government guidance funds and affiliated platforms, in the first funding round, preferring those capable of providing strategic resources such as AI infrastructure over those who can only provide capital, according to sources for the "South China Morning Post" earlier.
