DeepSeek to Develop 1GW AI Data Center in Inner Mongolia

Chinese AI startup DeepSeek is pushing forward with the construction of a 1-gigawatt (GW) AI data center in Ulanqab, Inner Mongolia. The data center will be located approximately 350 kilometers northwest of Beijing, and the company is considering both building its own data center and leasing additional facilities. DeepSeek aims to have part of the data center operational by the end of 2027 or early 2028. It is still undecided whether to use NVIDIA semiconductors or Huawei chips for the project. Recently, DeepSeek has hinted at large-scale infrastructure plans by recruiting personnel for the construction of a gigawatt-level AI campus. Chinese AI companies are expanding their AI computing infrastructure to compete with OpenAI and Anthropic. The 1GW data center is larger than facilities currently operated by Chinese companies, but it does not reach the scale of the 3GW and 5GW projects by American firms. DeepSeek is preparing for an initial public offering (IPO), with a possibility of filing for listing this year. The company has completed a $7 billion investment round, recognizing a valuation of $50 billion.

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