Prime Highlights
- Together AI raised $800 million in Series C funding at an $8.3 billion valuation.
- The company reported annual bookings of over $1.15 billion as demand for open-source AI models grows.
Key Facts
- Together AI is a neocloud company that rents Nvidia GPU clusters and AI infrastructure, founded in 2022.
- The round was led by Aramco Ventures, with participation from Nvidia, Vista Equity Partners and General Catalyst.
Background
Together AI, a company that provides Nvidia GPU clusters and AI infrastructure, has raised $800 million in a Series C funding round at an $8.3 billion valuation, the company announced this week. Aramco Ventures led the round, with participation from Vista Equity Partners, General Catalyst, Emergence Capital, Nvidia and several other investors.
The funding comes about 16 months after Together AI’s previous round, a $305 million Series B that valued the company at $3.3 billion. The company, founded in 2022, had earlier secured a $102.5 million Series A round led by Kleiner Perkins. Reports earlier this year suggested the company was seeking $1 billion at a lower valuation, indicating it ultimately raised less capital but secured better terms.
Together AI reported annual bookings exceeding $1.15 billion as of its most recent quarter, driven by growing demand for open-source AI models offered through neocloud providers. The company said usage of open-source models had tripled across the industry over the past year, citing research from AI gateway platform OpenRouter. Together AI counts Cursor, Cognition and Decagon among its paying customers.
The funding round reflects broader investor interest in neocloud companies, with competitors Upscale AI and TensorWave also raising significant funding in recent months. Together AI was co-founded by Vipul Ved Prakash, along with Stanford professor Percy Liang and academic Ce Zhang.
