Together AI Secures $800 Million Funding, Reaches $8.3 Billion Valuation

AI infrastructure provider Together AI has secured $800 million in a Series C funding round, pushing its valuation to $8.3 billion, the company announced on Wednesday. Founded in 2022, Together AI has rapidly emerged as one of the leading AI neocloud providers, offering Nvidia GPU clusters and other specialised infrastructure designed to support artificial intelligence workloads.

Aramco Ventures led the latest financing round. It included participation from Vista Equity Partners, General Catalyst, Emergence Capital, Nvidia, March Capital, Pegatron, SentinelOne’s S Ventures, along with several other investors.

The new investment follows Together AI’s $305 million Series B, which closed roughly 16 months ago at a $3.3 billion valuation. The company also entered the market with significant backing, having raised a $102.5 million Series A in 2023. That round was led by Kleiner Perkins and included participation from Nvidia and Emergence Capital.

Reports of another major fundraising effort first surfaced in March when The Information reported that Together AI was seeking approximately $1 billion at a valuation of around $7.5 billion. If those earlier figures were accurate, the outcome suggests the company ultimately accepted a smaller investment while achieving a higher valuation than originally anticipated.

The sizeable capital injection comes as Together AI reports annual bookings exceeding $1.15 billion as of its most recent quarter. The company says growing demand is being driven by organisations increasingly deploying capable open-source AI models via neocloud platforms rather than relying exclusively on more expensive closed frontier models for every AI workload.

According to Together AI, adoption of open-source models has accelerated significantly across the industry over the past year. Citing research from AI gateway provider OpenRouter, the company says usage of open-source models has tripled during that period. Together AI also reports serving thousands of paying customers, with companies such as Cursor, Cognition, and Decagon among its client base.

The broader neocloud sector has continued attracting substantial venture capital investment. Last month, Upscale AI completed an extended Series A Plus financing worth $500 million at a $2 billion valuation. Around the same time, TensorWave, which specialises in AMD-powered GPU clusters, secured a $350 million Series B round, valuing the company at approximately $1.55 billion.

Together AI was co-founded by Vipul Ved Prakash, who previously founded social media search platform Topsy before selling the company to Apple in 2013 in a deal reportedly worth more than $200 million. He launched Together AI alongside Stanford University professor Percy Liang and ETH Zürich and University of Chicago associate professor Ce Zhang, combining industry experience with leading academic expertise to build the company’s AI infrastructure platform.