AI chip startup Tenstorrent raised $1.5 billion in a Series E funding round. The round values the company at $6.2 billion. That is more than double its late-2024 valuation of $2.6 billion.
Trace Capital and Innovation X co-led the round. Existing investor Fidelity participated, alongside new investors T. Rowe Price and Cadence Ventures.
Led by chip architect Jim Keller, Tenstorrent plans to use the capital to scale manufacturing of its Galaxy AI servers and further develop its open-source hardware and software solutions.
The funding follows reports of earlier acquisition interest from Intel and Qualcomm. Tenstorrent opted to remain independent to capitalize on growing demand for alternatives to Nvidia’s dominant AI chips.