Key facts
- Together AI secured $800 million in Series C funding.
- The company's valuation reached $8.3 billion.
- Aramco Ventures led the funding round.
- Nvidia and Vista Equity Partners were among the investors.
- Together AI reported annual bookings over $1.15 billion.
- The company provides AI-specific hardware and infrastructure tools.
Together AI, a company specializing in AI neocloud infrastructure, has successfully raised $800 million in a Series C funding round, achieving a valuation of $8.3 billion. The round was spearheaded by Aramco Ventures and saw participation from prominent investors including Vista Equity Partners, General Catalyst, Emergence Capital, Nvidia, March Capital, Pegatron, and SentinelOne’s S Ventures.
This latest funding marks a significant increase from its previous Series B round, where Together AI secured $305 million at a $3.3 billion valuation approximately 16 months prior. The company had also previously raised $102.5 million in a Series A round in 2023. Reports from March indicated the company was seeking $1 billion at a $7.5 billion valuation, suggesting a potentially more favorable deal was secured in the current round.
Together AI attributes its strong investor interest to its claimed annual bookings exceeding $1.15 billion. The company facilitates the adoption of open-source AI models, which are becoming increasingly popular as a more cost-effective alternative to closed, proprietary models. Together AI provides the necessary hardware, such as Nvidia GPU clusters, and other infrastructure tools required for these models.
The company states that the adoption of open-source models has tripled across the industry in the last year. Together AI boasts thousands of paying customers, including notable names like Cursor, Cognition, and Decagon. This trend highlights the growing demand for neocloud providers, with other companies like Upscale AI and TensorWave also recently securing substantial funding for their GPU cluster and AI infrastructure services.
Together AI was co-founded by Vipul Ved Prakash, who previously sold his startup Topsy to Apple for over $200 million. He is joined by Stanford professor Percy Liang and associate professor Ce Zhang from ETH Zürich and the University of Chicago.