AI Infrastructure Firm Nscale Seeks $3.5 Billion Before Expected IPO

AI infrastructure company Nscale is reportedly seeking $3.5 billion in new financing as the British startup prepares for a possible IPO later this month. The funding effort comes as demand grows for computing infrastructure needed to support advanced AI systems.

Bloomberg reported that Nscale is seeking $1.5 billion through convertible notes that could later convert into company shares, along with an additional $2 billion investment from Nvidia.

Nscale has previously indicated plans for a potential U.S. IPO as it expands its AI infrastructure business.

Nvidia-Backed AI Infrastructure Growth

Nvidia participated in Nscale’s Series B funding round in March, a $1.1 billion raise led by investment firm Aker. Nscale called the round one of the largest Series B financings in European history.

The company previously raised $155 million in its Series A round in December 2024. The investment has helped Nscale expand its position in the AI infrastructure market.

AI Compute Demand Fuels Expansion

Nscale recently signed a major agreement with Anthropic valued at approximately $45 billion. The Information reported that Nscale has highlighted more than $100 billion in projected contracted revenue tied to customer leases, not current sales.

Nscale’s earlier Series A funding supported its growth as an AI hyperscaler focused on providing computing infrastructure for AI applications.

The latest financing effort reflects the increasing competition among AI infrastructure companies that are building data centres, cloud platforms, and computing capacity for large-scale AI workloads.