IPO Recovery at Risk Due to DeepSeek-Induced Market Volatility

Reported about 10 hours ago

The recent emergence of DeepSeek, an energy-efficient Chinese AI model, has heightened market volatility, leading to increased skepticism among investors regarding venture-backed initial public offerings (IPOs). According to a PitchBook report, IPO activity has stalled significantly and is expected to remain low in the first half of 2025, with only 21 completed IPOs anticipated. The report highlights the challenges faced by tech sectors affected by market downturns, suggesting that without significant exits, 2025 could see continued poor returns for venture capital investors.

Source: YAHOO

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