Tenstorrent secures £100M in VC funding led by Hyundai and Samsung. Leading provider of AI processors and licensable IP, poised for accelerated growth.
Tenstorrent has closed a strategic financing up-round, raising £100 million in capital.
The VC funding round was spearheaded by Hyundai Motor Group and Samsung Catalyst Fund and saw participation from prominent investors, including Fidelity Ventures, Eclipse Ventures, Epiq Capital, and Maverick Capital, among others.
How Tenstorrent Built its Name
Tenstorrent, a provider of AI processors and licenser of AI and RISC-V IP, has gained significant traction in the market, enabling customers to own and customise their silicon, thereby meeting their specific AI processing needs.
With this financing round, the company aims to further bolster its product development efforts, enhance the design and development of AI chiplets, and advance its ML (Machine Learning) software roadmap.
Hyundai and Samsung’s Support is Hugely Meaningful
The backing of Hyundai Motor Group and Samsung Catalyst Fund in this financing round is particularly noteworthy.
Both companies have established themselves as leaders in their respective markets and have achieved remarkable success in their areas of expertise. Their support and partnership with Tenstorrent signal a strong endorsement of the company’s vision and technology.
Tenstorrent’s commitment to empowering customers with tailored AI processing solutions has garnered significant interest from investors and industry players.
The latest funding injection will enable the company to scale its operations, expand its product offerings, and stay at the forefront of innovation in the AI and semiconductor space.
Tenstorrent is Now Officially a Force to be Reckoned with
As the demand for AI solutions continues to surge across industries, Tenstorrent’s AI processors and licensable IP present an attractive proposition for companies seeking to leverage cutting-edge AI capabilities.
The strategic financing round positions Tenstorrent for accelerated growth and reinforces its position as a key player in the AI semiconductor landscape.
Additionally, the AI chips market is forecasted to account for up to 20% of the £450 billion total semiconductor market by 2025, according to McKinsey. T
he Insight Partners projects that sales of AI chips will climb to £83.3 billion in 2027 from £5.7 billion in 2018, a compound annual growth rate of 35%. (That’s close to 10 times the forecast growth rate for non-AI chips.)
Licensing and Services Adding to Growth
Tenstorrent’s focus on licensing and services, in addition to its innovative hardware solutions, is part of its strategic response to the evolving landscape and competition.
Tenstorrent is in an uphill battle against major players like Nvidia, Google, Amazon, and Microsoft. The company’s impressive financing success and partnerships with industry leaders like Hyundai and Samsung position the company to thrive in the dynamic and competitive AI chip market.
The only question now is if it can navigate challenges such as component shortages and market demands.
