What's happened
Tenstorrent has raised $693 million in a Series D funding round, valuing the AI chip startup at approximately $2.6 billion. Led by Samsung Securities and AFW Partners, the investment aims to enhance Tenstorrent's engineering capabilities and develop AI training servers to compete with Nvidia's dominance in the market.
Why it matters
What the papers say
According to Bloomberg, Tenstorrent's Series D funding round raised $693 million, valuing the company at about $2.6 billion. Jim Keller, the CEO, emphasized the importance of open-source technology, stating, 'Open source helps you build a bigger platform.' Meanwhile, Business Insider highlighted the diverse investor base, including Jeff Bezos and LG Electronics, which signals strong confidence in Tenstorrent's vision. The South China Morning Post noted that Tenstorrent's strategy focuses on avoiding high-bandwidth memory, which is a significant cost factor for competitors like Nvidia. This approach could allow Tenstorrent to offer more affordable AI solutions, potentially reshaping the competitive landscape.
How we got here
Founded in 2016, Tenstorrent aims to disrupt Nvidia's stronghold in the AI chip market. The company has gained traction with nearly $150 million in customer contracts and is led by Jim Keller, a notable figure in microprocessor design.
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