Startup Together AI Valued at $3.3 Billion as AI Demand Grows

(Bloomberg) — Startup Together AI, which provides users access to artificial intelligence computing, has raised $305 million from investors in deal led by General Catalyst, bringing the valuation of the company to $3.3 billion — a signal that corporate demand for AI is still strong.

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Saudi Arabia’s Prosperity7 Ventures co-led the round, which also included Salesforce Ventures, Nvidia Corp., Kleiner Perkins, Emergence Capital, Lux Capital and other investors.

Together AI’s platform allows developers to access open source AI models and the compute power necessary to build AI applications. “We provide a very end-to-end service,” Chief Executive Officer Vipul Ved Prakash said. “This includes data centers and computing clusters from Nvidia, and the software layers and platform services.” The result allows Together’s customers to “get up and running really quickly,” he said.

As demand for AI grows in the corporate world, Together AI is seeing rapid growth, the company said. The startup recently surpassed $100 million in annualized revenue, a jump from the $30 million in annualized revenue it had in February 2024, according to a person familiar with the matter who asked not to be identified discussing private information.

The Information previously reported some details of the new funding.

Customers can use more than 200 open source models via Together AI’s platform, including Meta Platforms Inc.’s Llama and those from Chinese AI startup DeepSeek. Nvidia is both an investor and a partner for Together AI, which has built its service on Nvdia hardware, Prakash said. The startup plans to deploy Nvidia’s Blackwell GPU’s in its data centers.

Together AI’s latest valuation is a significant leap from its $1.25 billion valuation in March 2024. Prakash said the company plans to use the new funding in part to double its workforce of 160 by the end of 2025.