DeepSeek Bets Big on Huawei Chips to Bypass U.S. Export Controls

DeepSeek CEO Liang Wenfeng told investors that a major priority for his company is to use more domestic chips to train its models, adding that he expects Huawei Technologies to start delivering training chips to DeepSeek as early as the fourth quarter this year, according to two people with direct knowledge of the matter.

DeepSeek’s growing adoption of Huawei chips during AI model training—a process that requires more powerful chips compared to running the models—demonstrates how both companies are joining hands to break away from the stranglehold imposed by U.S. export controls on advanced chips. Liang’s most recent remarks, made during a closed-door, in-person meeting on Sunday, came as DeepSeek finalizes its second funding round, which aims to raise 50 billion yuan ($7.5 billion) at a valuation of 500 billion yuan.