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The Ministry of Commerce and the Ministry of Science and Technology plan to revise the technology export catalog, adding 23 artificial intelligence technologies

On October 16, the Ministry of Commerce and the Ministry of Science and Technology issued an announcement proposing to revise the Catalog of Technologies Prohibited or Restricted from Export in China, soliciting public comments on 40 technologies in three fields: artificial intelligence, biomedicine, and photovoltaics, while simultaneously implementing pre-export registration management. The artificial intelligence field involves 23 technologies related to large models, agents, computing power clusters, and information processing; the restricted export section lists specific indicators such as AI chip design, high-speed interconnection of computing power clusters, and fault tolerance in distributed training. The announcement specifies that technologies that have entered the public domain through open source, published academic papers, and other means are not included in the scope of management, and that enterprises using restricted large models to provide external API calls, APP or web interaction, SaaS applications, and local on-device lightweight deployment do not fall within the scope of large model technology export management.

Character.AI files for Chapter 11 bankruptcy protection; 20 million monthly active users fail to cover compute costs

Character.AI announced on October 12, 2026 that it filed for Chapter 11 bankruptcy protection; if the sale process cannot find a suitable buyer, officials said it may shut down. Its monthly active users once reached 20 million, but monthly compute costs were about $10 million, subscription revenue peaked at about $2.8 million, and total revenue was at most about $5.3 million a month; before bankruptcy it was still losing about $8 million to $9 million per month. The company also faces lawsuits and regulatory pressure over minor safety, with attorneys general from 40 U.S. states asking the court to protect sensitive data of minors remaining on the platform.

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DeepSeek's new funding round approaches 100 billion yuan, plans IPO for early 2027

DeepSeek's new funding round drew subscriptions exceeding the original 500 billion yuan target, with the term sheet pointing to nearly 100 billion yuan and a post-investment valuation of about 500 billion yuan. Tencent and CATL pledged the largest contributions, and the deal is expected to close within October, followed by a restructuring of the corporate structure to pave the way for an IPO in early 2027. External investors hold shares indirectly through limited partnerships, with no voting rights and a five-year lock-up; Liang Wenfeng controls a combined roughly 84% of equity and nearly all voting rights. CATL has invested a cumulative total of more than 10.5 billion yuan across two consecutive rounds, and has also taken a stake in 21Vianet and increased capital in Zhongheng Electric, integrating green power and power distribution solutions for DeepSeek's gigawatt-scale data center in Ulanqab.