Groq raising 650 million dollars from current investors
The AI chip startup Groq is raising up to 650 million dollars from existing backers following a significant licensing deal with Nvidia. Investors are being invited to participate in a new funding round as the company shifts its focus toward specialized AI inferencing services.
Groq is raising up to $650 million from existing investors to fund its expansion into AI inferencing. The startup recently signed a $17 billion licensing deal with NVIDIA CORP in December. This capital injection supports Groq's transition from hardware manufacturing to specialized AI model response services.
Existing backers Disruptive and Infinitum will backstop the $650 million round if it is not fully subscribed, a person familiar with the matter said on Thursday. The funding follows a shift toward AI inferencing, which enables trained models to process user requests. Groq previously focused on hardware production before pivoting to this high-demand segment.
