TECH - Nvidia Partner Lambda Labs In Talks To Raise $800M To Expand AI Infrastructure And Meet Soaring Demand For GPUs And Cloud Services | Benzinga
In a bid to capitalize on the surging demand for AI computing, Lambda Labs, a Silicon Valley startup, is in discussions to raise an additional $800 million.
What Happened: The proposed funding would significantly boost the company’s valuation, placing it among the best-funded startups in Silicon Valley. The surge in demand for computing infrastructure that powers the generative AI boom is driving this move, reported the Financial Times on Saturday.
Lambda Labs, based in San Jose, recently secured a $500 million loan using its NVIDIA Corp (NASDAQ:NVDA) chips as collateral. This loan was intended to finance the expansion of its cloud services. The company’s rapid succession of funding rounds underscores the increasing demand for Nvidia’s GPUs, which are now a sought-after commodity.
The proposed funding will be used to acquire more Nvidia GPUs and associated cloud ...