Nvidia Plans Massive $1 Billion Investment in AI Coding Startup Poolside

Nvidia is reportedly investing up to $1 billion in Poolside | TechCrunch

Semiconductor giant Nvidia is reportedly looking to make a sizable investment in AI software development platform Poolside. Nvidia is looking to invest at least $500 million, and up to $1 billion, in Poolside, which builds AI models for software development, according to reporting from Bloomberg, which cited sources. This investment would be part of a $2 billion funding round Poolside is raising at a $12 billion valuation, according to Bloomberg. Nvidia's investment could rise to $1 billion if the company successfully completes the rest of the funding round, Bloomberg reported. This wouldn't be Nvidia's first investment in Poolside. Nvidia previously backed Poolside in its $500 million Series B round in October 2024. Nvidia, already a prolific investor in AI startups, has been broadening its portfolio to include diverse sectors. For example, Nvidia said it was exploring a $500 million investment into U.K.-based self-driving company Wayve in October. Last month, the company took a $5 billion stake in Intel with plans for future chip collaboration. TechCrunch reached out to Poolside for more information.

Nvidia Plans to Invest Up To $1 Billion in AI Startup Poolside: Report | AIM

Poolside is in talks to raise $2 billion at a $12 billion valuation, excluding prior funding. NVIDIA is reportedly planning to invest up to $1 billion in the AI startup Poolside, aiming to significantly increase the startup's value, according to sources familiar with the situation, Bloomberg said on Thursday. Poolside is currently negotiating to raise $2 billion at a valuation of $12 billion, excluding prior capital raised. Nvidia's previously unreported investment in this funding round is set to begin at $500 million, potentially reaching $1 billion if the startup achieves its fundraising goals, according to one unnamed source. The AI startup has already secured over $1 billion in commitments for the new funding round, including approximately $700 million from existing investors. Additionally, Magnetar, a hedge fund investment manager, is also reportedly looking to invest in this round, according to another source. The new valuation for Poolside marks a significant increase from the $3 billion valuation during a funding round last year. This deal demonstrates strong investor confidence in an AI startup that launched its first product just a year ago. With offices in the US and Paris, Poolside focuses on coding automation aimed at the government and defence sectors. The company also expresses ambitions to develop artificial general intelligence (AGI), a more advanced and theoretical form of AI that is capable of surpassing human intelligence. During his keynote speech at the GTC conference on Tuesday, Nvidia CEO Jensen Huang said, "I'm delighted that AI startups build on Nvidia. They do so for several reasons. One, of course, our ecosystem is rich. Our tools work great." Additionally, the investment fits well with Poolside's ambitious infrastructure goals. Earlier this month, the company revealed a collaboration with CoreWeave Inc. to develop one of the largest data centres in the US, part of a project named Project Horizon. This facility, slated for construction in West Texas, is projected to have a capacity of 2 gigawatts, sufficient to supply power to approximately 1.5 million households.

Nvidia to invest up to $1 billion in AI startup Poolside, Bloomberg News reports

(Reuters) -Nvidia will invest up to $1 billion in AI company Poolside, in a deal that would quadruple the startup's valuation, Bloomberg News reported on Thursday, citing people familiar with the matter. Poolside is in discussions to raise $2 billion at a pre-money $12 billion valuation, Bloomberg reported, adding that Nvidia's investment in the round would start at $500 million, with the potential to reach $1 billion if the startup meets its fundraising targets. Poolside, which offers AI-powered coding assistants, has already secured more than $1 billion in commitments for the latest funding round, including roughly $700 million from existing investors, according to the report. Poolside and Nvidia did not immediately respond to Reuters' requests for comment. (Reporting by Arsheeya Bajwa in Bengaluru; Editing by Maju Samuel)