Together AI, an AI neocloud company specializing in renting Nvidia GPU clusters and AI infrastructure, has successfully raised $800 million in a Series C funding round, elevating its valuation to $8.3 billion. The announcement was made on Wednesday, with the funding round led by Aramco Ventures and contributions from prominent investors including Vista Equity Partners, General Catalyst, and Nvidia.
Funding Details and Previous Rounds
Founded in 2022, Together AI previously secured $305 million in a Series B round at a $3.3 billion valuation approximately 16 months ago. The company also initiated its journey with a $102.5 million Series A funding round in 2023, led by Kleiner Perkins.
Despite earlier reports suggesting that Together AI was aiming for $1 billion in funding at a $7.5 billion valuation, the company managed to negotiate a better deal with VCs.
Market Position and Customer Base
Together AI claims annual bookings surpassing $1.15 billion as of the last quarter. As companies increasingly shift towards affordable open-source models available through neocloud providers, Together AI has reported a significant rise in usage. This trend has reportedly tripled the adoption of open-source models across the industry in the past year.
