Modal Raises $750M at $15.75bn Valuation as Run Rate Tops $1bn
Accel led the round as revenue topped $1 billion and Sandboxes alone generated $300 million a year.
- On Wednesday, cloud company Modal announced it raised $750 million in funding at a $15.75 billion valuation, led by co-founders Erik Bernhardsson and Akshat Bubna from New York.
- Explosive demand fueled the round, as usage tripled in the five months prior; the business has grown more than 15 times in a year, Bernhardsson reported.
- Sandboxes alone now bring in $300 million a year, helping total revenue exceed more than $1 billion; this product has started close to 3 billion instances since 2023.
- Accel led the financing with Kleiner Perkins joining; the startup counts DoorDash, Ramp, Linear, Cognition, and Runway among clients and plans to launch additional training products.
- With more than 200 staff across New York, San Francisco, and Stockholm, the firm utilizes spare capacity from more than 20 cloud providers to support robotics companies despite past security issues involving OpenAI.
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Modal raises $750M at $15.75bn valuation as run rate tops $1bn
Modal, a cloud company that runs AI models and code for developers, announced on Wednesday that it has raised $750 million in a Series D round at a $15.75 billion valuation. Accel led the round, and Kleiner Perkins joined. All of Modal’s existing investors also took part, including Menlo Ventures, General Catalyst, Redpoint, Lux Capital, […] This story continues at The Next Web
Watch Modal CEO: AI Has Entered a ‘New Era of Software’
AI cloud startup Modal has raised $750 million at a $15.75 billion post-money valuation as demand surges for the infrastructure needed to build and run AI applications. CEO Erik Bernhardsson discusses the company’s more than 3 billion AI sandboxes, growing demand for inference and reinforcement learning, and why increasingly capable agents will need secure virtual environments where they can execute code and eventually take on longer-running tasks. He joins Ed Ludlow on "Bloomberg Tech."
Modal Labs valued at almost $16bn after launching in London
A cloud infrastructure platform for AI has been valued at $15.75 billion after launching in London. Modal Labs was founded by Swede Erik Bernhardsson, who began his career at Spotify, to allow developers to run AI and machine learning workloads without managing physical servers. Headquartered in New York, it maintains a base in Stockholm but recently announced a big push into Europe with the opening of an office in London. Hiring across sales, …
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