DeepSeek API's gross margin reaches 82.9%, with revenue for the first half of 2026 expected to increase tenfold year-over-year.

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DeepSeek API's gross margin reached 82.9% in Q2 2026, with H1 revenue surging tenfold to RMB 475 million. The company is now seeking RMB 50 billion in a second funding round at a RMB 500 billion valuation. Net loss declined to RMB 715 million, down from RMB 935 million in 2025. API pricing for V4-Pro increased to USD 3.96, up from USD 0.87, as part of its commercialization efforts. Altcoins to watch may benefit from improved funding rates as AI infrastructure gains momentum.

Dynamic AI News: According to The Information, DeepSeek is seeking a second round of funding at a valuation of approximately RMB 500 billion, aiming to raise another RMB 50 billion. Data shows that from January to July 2026, DeepSeek’s revenue reached RMB 475 million (approximately USD 70.7 million)—about ten times its full-year 2025 revenue. During the same period, net losses narrowed to RMB 715 million, down from RMB 935 million for the full year of 2025. In terms of profitability, DeepSeek’s overall gross margin stands at 44.6%, with its API business achieving a remarkable gross margin of 82.9%, primarily due to optimizations in AI infrastructure that enable the company to run models with fewer chips while maintaining low inference costs. With the V4 series, particularly V4-Flash, gaining widespread adoption among global developers, the company’s revenue growth has accelerated, with its annualized revenue reportedly reaching USD 400 million to USD 500 million last month. Additionally, DeepSeek recently increased its API pricing to strengthen monetization: the peak-hour output price for V4-Pro rose from USD 0.87 to USD 3.96, with off-peak pricing at USD 1.98—still significantly lower than Kimi K3’s USD 15 and Claude Opus 5’s USD 25. Meanwhile, the company’s investment in AI infrastructure surged from RMB 1.2 billion in 2025 to RMB 11 billion in the first seven months of this year, primarily allocated to server rentals and the procurement of AI chips and computing hardware. DeepSeek completed its first external funding round in June this year, raising approximately RMB 50 billion, and has since hired investment banks to prepare for an IPO in Shanghai next year.

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