Every few years, a company comes along that shifts the entire AI landscape. In 2023, it was OpenAI. In 2025, many believe it could be DeepSeek. Should you anticipate its IPO for future investment? If yes, I will break down whether DeepSeek will go public or not with evidence of data and some predictions. Without any fluff, let’s go straight to the topic.
Is DeepSeek Planning for IPO?
As of now, there is no official confirmation or any big source claims that state DeepSeek is preparing for an IPO. Instead of IPO plans currently, it is focusing on updating and improving the models, like the recent R1-0528 update and the anticipated R2 release.
The company hasn’t publicly disclosed its fundraising, making it difficult to predict its financial planning. Currently, it is backed by High-Flyer, and although there was buzz around companies like Alibaba and Chinese state funds (such as China Investment Corp. and the National Social Security Fund) showing interest in the company, there is no official confirmation.
Will It Stay Private or Go Public?
It is unlikely to offer the IPO for several reasons that I will be discussing below.
Strategic Control and Long-Term Focus
Staying private allows DeepSeek to maintain control over its operations and prioritize long-term innovation without the pressures of investors and public expectations. It will put pressure on the team to focus on short-term profits instead of long-term innovation. DeepSeek’s founder Liang Wenfeng emphasizes a mission-driven approach focused on advancing AGI (artificial general intelligence) over immediate commercialization.
Sufficient Private Funding
DeepSeek is funded by High-Flyer, which manages approximately $8 billion in assets, providing substantial financial backing without the need for public capital. The reports also suggest that interest from Alibaba and Chinese state funds invest a significant amount in the company if needed, reducing the urgency for an IPO.
Regulatory and Geopolitical Challenges
As a Chinese company, it faces a complex regulatory environment, both domestically and internationally. Going public, especially in Western markets like the U.S., would require transparency that could expose it to scrutiny over data privacy and alleged ties to the Chinese government or military.
Early-Stage Development
It is still an early-stage startup, having been founded in 2023. It has not yet fully commercialized its AI models, focusing instead on research and offering free, open-source models to build goodwill. It is a very early stage for an IPO to go public.
Why Investors are Crazy About DeepSeek’s IPO Potential?
The main reason investors are interested in or crazy about DeepSeek is that the disruption in the market triggered a 1 trillion-plus sell-off in global equities, with Nvidia losing $600 billion in market value. It makes investors and users eager to know if it will capitalize on this momentum with an IPO.
With such an amount of disruption, IG International gave an estimated valuation of $10 billion. On Reddit, people are stating that they would “definitely buy in” if DeepSeek went public.
What’s Really Pushing DeepSeek Toward Going Public?
There is no clear strong point to going public, though an investor company has sufficient money to fund it. There are some speculations about raising external funds, and sources suggest that the founder of the company has denied it for now. If the money of the investor company is insufficient for AI development, it is likely to raise external funds. They need a large amount of funds to fuel the operations and development. All Western AI companies raised tons of funds for growth, expansion, and chose a subscription model to fuel operations.
If DeepSeek offers a free model for a long period, it may face financial losses like ChatGPT. As a Chinese company, it hasn’t disclosed the operational costs. It may offer up to 3-4 years of free model subscription and open-source models.
Why DeepSeek Might Not Go Public Soon?
The company is unlikely to go public for several reasons that I will elaborate on in the section below.
Sufficient Private Funding and Financial Backing
DeepSeek is wholly owned and funded by High-Flyer, which manages assets of $8 billion, and was co-founded by DeepSeek’s CEO, Liang Wenfeng. Its substantial backing has supported DeepSeek’s rapid development and introduced a model ready at $5-6 million of training cost. It has sufficient capital to fuel the company for up to 3-4 years and until it might go public.
Early-Stage Status Startup
It is in the early stage and was founded back in 2023, merely 2 years ago. DeepSeek is currently focusing on research and open-source models, which are offered for free to build goodwill in the market. It has not yet fully commercialized its offerings, unlike ChatGPT and Anthropic. There is a lack of financial transparency and profitability expectations required for a public listing.
Legal and International Policy Hurdles
DeepSeek faces significant regulatory scrutiny, particularly in the U.S., where the House Energy and Commerce Committee and the House Select Committee on the Chinese Communist Party are investigating its data security practices and alleged ties to the Chinese military. Before into the U.S. IPO, it needs to have extensive transparency about Chinese censorship laws and data storage on Chinese servers.
Is It Worth Investing in DeepSeek’s Pre-IPO
Investing in a pre-IPO company or startup is very risky, as there is clear evidence that the company has no IPO plans. So, it is not worth investing until the company announces IPO plans; then, it will be worth investing in before the IPO is in the market.
I’m Ryker Alden, a writer, and contributor at DeepSeek Insider, where I craft queries, troubleshoot problems and create accessible tutorials. With a passion for artificial intelligence, machine learning, and large language models (LLMs), I focus on breaking down complex AI concepts into clear, simple language to engage and educate a broad audience.
