CScale Exits Stealth with $145m to Stop Laser Failures Stalling AI
Palo Alto startup CScale builds optical interconnect for AI data centers. Nvidia and Intel Capital joined the round as its first strategic investors, taking total funding to $188m.
What They're Building
Optical interconnect is what allows thousands of accelerators to work together as one much larger computer. CScale says these links become essential once a single AI system spans dozens of racks. It is building an integrated light engine for this purpose, emphasizing reliability by designing the interconnect to withstand optical failures without interrupting compute.
Leadership
- Martin Lund, CEO, built Broadcom’s switching business, held senior roles at Microsoft and Cadence, and most recently ran Cisco’s Common Hardware Group.
- Sanjai Kohli, CTO, co-founded SiRF (bringing GPS to the mass market) and Inovi (acquired by Facebook in 2014).
Funding Details
- Series C: $145m
- Total Funding: $188m
- Investors: Atreides Management (lead), Valor Equity Partners and Premji Invest (co-leads), Sutter Hill Ventures, Maverick Silicon, Nvidia, and Intel Capital.
Context
CScale joins a wave of big funding rounds for startups that connect AI chips. Atreides also backed Lumilens ($700m), Celero ($275m), and Eliyan ($145m). Nvidia has also been invested in photonics.