DeepSeek AI cranks open the spigots on Chinese venture capital

From CNBC: 2025-03-11 20:57:04

China’s AI sector is booming with DeepSeek’s breakthrough sparking investor interest. Insilico Medicine secures $110 million in funding, plans additional raise due to high demand. Regulatory clarity and policy support signal a shift in Chinese venture capital activity. Domestic and international investors eye AI opportunities in China’s growing market. Tariffs and tech restrictions continue to pose challenges for international investors considering AI opportunities in China. U.S.-based companies have an advantage accessing global markets over China-based ones, limiting expansion opportunities abroad. Foothill Ventures managing partner Xuhui Shao emphasizes the importance of understanding risks and regulations when investing in China, despite its potential for innovation and market size. China’s pool of skilled engineers and data scientists contribute to breakthroughs in AI technology, demonstrating the sector’s global progress beyond borders.

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