Tenstorrent, a Canadian startup headed by chip trade veteran Jim Keller that’s growing synthetic intelligence chips, stated on Wednesday it has raised USD 100 million from Hyundai Motor Group and a Samsung funding fund, amongst others.
Tenstorrent, which earlier than this funding had already raised USD 234.5 million was valued at USD 1 billion, is certainly one of a number of upstarts trying to problem Nvidia, the market chief in supplying chips to develop synthetic intelligence merchandise like ChatGPT.
Keller, who has beforehand developed chips for Apple , Tesla and Intel, took over because the startup’s CEO earlier this yr.
Tenstorrent stated it has raised USD 30 million from Hyundai and USD 20 million from Kia, with the remaining USD 50 million coming from Samsung’s Catalyst Fund and different traders together with Constancy Ventures, Eclipse Ventures, Epiq Capital and Maverick Capital, amongst others.
The transfer marks a return to automotive know-how for Tesla veteran Keller. Whereas Tenstorrent is growing chips to problem Nvidia in knowledge facilities, it’s also growing AI chips for a variety of different makes use of, together with a deal introduced in Might with LG for chips that might be utilized in sensible televisions.
The funding spherical was structured as a debt that may later convert to inventory, which means that Tenstorrent is not going to formally have a brand new valuation till it holds one other spherical of fairness fundraising, which it says it expects to do subsequent yr. Tenstorrent declined to touch upon particulars of the convertible debt.
Tenstorrent makes its personal AI chips, but in addition sells its mental property and different know-how to prospects trying to make their very own AI chips. Hyundai established a semiconductor growth group final yr and stated that it plans to make use of Tenstorrent know-how in “future Hyundai, Kia and Genesis” autos.
“With this funding, the Group expects to develop optimized however differentiated semiconductor know-how that may support future mobilities and strengthen inner capabilities in AI know-how growth,” Heung-soo Kim, govt vp and head of the worldwide technique workplace at Hyundai Motor Group, stated in a press release.
