- Together AI secures $106 million in new funding round, doubling its valuation since last fall.
- Salesforce Ventures leads the funding, valuing Together AI at $1.25 billion, with Coatue Management and existing investors also participating.
- Established in 2022, Together AI gains traction by providing access to Nvidia’s GPUs, now expanding to a platform for AI model customization.
- Funding is to be allocated for leasing more computing power and hiring researchers.
- CEO Vipul Ved Prakash highlights the company’s growing prominence with 45,000 registered users.
- The previous funding round in November saw Together AI raise $102.5 million.
Main AI News:
In a significant development for Nvidia-backed Together AI, the company announced on Wednesday a substantial infusion of $106 million in its latest funding round. This funding round marks a remarkable milestone for the company, doubling its valuation since the previous autumn. The surge in valuation underscores investors’ fervent support for startups leveraging the burgeoning generative AI landscape.
The funding drive, spearheaded by Salesforce Ventures, resulted in an impressive valuation of $1.25 billion for Together AI. Noteworthy participants in this funding round include Coatue Management, alongside existing investors Lux Capital and Emergence Capital.
Established in 2022, Together AI swiftly garnered attention for its provision of access to Nvidia’s highly sought-after graphics processing units (GPUs). Its trajectory now aims towards evolving into a comprehensive platform that facilitates developers in constructing or tailoring their open-source AI models.
According to Rob Keith, Managing Director at Salesforce Ventures and lead investor in the venture, customers are initially drawn by the allure of GPUs but find lasting value in the platform’s workflow services and research offerings.
Vipul Ved Prakash, CEO of Together AI, articulated that the fresh infusion of capital will be allocated towards securing additional computing resources from cloud providers. Additionally, it will be instrumental in bolstering the company’s research capabilities to innovate new model architectures. Notably, Together AI currently boasts an impressive user base of 45,000 registered users spanning AI startups to multinational corporations.
“We are increasingly positioned as a primary destination for leveraging open or customized models, enabling seamless deployment for large-scale applications,” remarked Prakash, emphasizing the company’s evolving role in the AI ecosystem.
In a previous funding round held in November, Together AI secured $102.5 million in Series A financing led by Kleiner Perkins, with Nvidia also participating. The accelerated pace of investments in AI startups correlates with the advent of transformative technologies like OpenAI’s ChatGPT. Investors are increasingly placing their bets on firms poised to harness the potential of AI adoption, potentially disrupting established industry incumbents.
Conclusion:
The substantial investment in Together AI signifies a growing confidence in the potential of generative AI technologies. Led by Salesforce Ventures, the funding round underscores investors’ belief in the company’s ability to innovate and scale its platform, positioning it as a key player in the AI landscape. This influx of capital not only fuels Together AI’s expansion but also signals a broader trend of heightened investment in startups capitalizing on transformative AI advancements, potentially reshaping market dynamics in the foreseeable future.
