Home / Business and Economy / AI Chip Startup CScale Secures $145M from Nvidia, Intel
AI Chip Startup CScale Secures $145M from Nvidia, Intel
1 Oct
Summary
- CScale raised $145 million in venture capital funding.
- The startup aims to replace copper cables with optical connections inside AI servers.
- CScale plans to ship its chips by 2028 with investor support.
CScale, a Silicon Valley-based startup, announced on Wednesday that it has successfully raised $145 million in venture capital. This significant funding round saw participation from major tech players, including Nvidia and Intel, underscoring the investor confidence in CScale's vision.
The startup is focused on revolutionizing the way AI chips connect within data center servers. Currently, these connections rely on copper cables, which, despite their reliability, have reach limitations. These limitations necessitate processors being placed close together, leading to heat generation and the need for complex liquid cooling systems.
CScale's technology aims to replace these copper cables with optical connections, which transmit data using light. While optical solutions exist, CScale's CEO, Martin Lund, stated that the company's unique approach integrates lasers onto the chips in a way that ensures continuous data flow even if a laser fails. The company, formerly known as CSpeed, plans to begin shipping its chips by 2028.
The funding was led by Atreides Management, Valor Equity Partners, and Premji Invest. Existing investors Sutter Hill Ventures and Maverick Silicon also contributed to the round. To date, CScale has raised a total of $188 million.
