Lambda, a leading GPU cloud company based in San Jose, CA, has recently secured a significant investment of $320 million in its Series C funding round, valuing the company at over $1.5 billion. The funding round was spearheaded by Thomas Tull’s US Innovative Technology, with participation from prominent new investors such as B Capital and SK Telecom, as well as existing investors including T. Rowe Price Associates, Inc., Crescent Cove, Mercato Partners, 1517 Fund, Bloomberg Beta, and Gradient Ventures, among others.

This substantial investment will be instrumental in Lambda’s mission to expand its AI cloud business, particularly focusing on enhancing its on-demand and reserved cloud offerings. Lambda, founded in 2012, has emerged as a key player in the AI compute platform domain, catering to developers throughout the AI development lifecycle. Their solutions empower AI engineers to build, test, and deploy AI products at scale, offering a comprehensive portfolio ranging from on-prem GPU hardware to hosted GPUs in the cloud.

Lambda has garnered over 100,000 customer sign-ups on Lambda Cloud and serves more than 5,000 customers across various sectors, including manufacturing, healthcare, pharmaceuticals, financial services, and government agencies. Renowned for its early adoption of NVIDIA H100 Tensor Core GPUs, Lambda is preferred by AI developers for its access to cutting-edge architectures for training, tuning, and inferencing of generative AI, large language models, and foundation models.

The company’s AI Cloud has gained traction among prominent companies and research institutions, including Anyscale, Rakuten, The AI Institute, and multiple enterprises boasting over a trillion dollars of market capitalization. Lambda’s commitment to providing state-of-the-art AI infrastructure is underscored by its ambition to become the top AI compute platform globally.

Mitesh Agrawal, Chief Operating Officer and Head of Cloud at Lambda, expressed his enthusiasm about the company’s trajectory, stating, “Growing Lambda these last six years has been an honor I will always cherish. We’ve accomplished a lot, but what lies on the horizon for us and our customers is even bigger. We can’t wait to see what you and your team build with Lambda Cloud and Lambda Hardware.”

Tony Wang, portfolio manager at T. Rowe Price Associates, Inc., emphasized the firm’s confidence in Lambda’s vision, stating, “We look forward to partnering with Lambda as an innovative accelerated computing infrastructure provider tailored for the future of AI. We appreciate the team’s vision to build out an infrastructure and software platform of choice for ML engineers.”

Lambda’s journey to establish itself as the premier AI compute platform highlights the rapid evolution and growing significance of AI technology in various industries. With robust financial backing and a steadfast commitment to innovation, Lambda is poised to shape the future of AI infrastructure and empower developers worldwide.