Generative AI Infrastructure Hardware Startup Enfabrica Raises $125M

Enfabrica has raised $125 million in an oversubscribed Series B funding round led by Atreides Management. Enfabrica manufactures the Accelerated Compute Fabric Switch (ACF-S) family of networking chips, like the one seen above, which are designed to handle the demands of generative AI processing on an enterprise level.

Enfabrica Infrastructure

Enfabrica builds converged networking and memory fabric tailored for AI and high-performance computing workloads. The idea is that the usual chips are slow to move the required data when running AI models because of the sheer volume of information. The ACF-S solutions are designed to augment what’s in place already with larger and faster data transfers. They can boost existing hardware and work within large-scale settings like data centers. The startup claims it can halve LLM inferencing costs for data centers and bring deep learning recommendation model inferencing costs to a quarter of their usual cost without compromising performance because it improves the efficiency of the hardware, cutting down the GPUs, CPUs, and AI accelerator chips needed.

“The fundamental challenge with today’s AI boom is the scaling of infrastructure. There’s no denying the transformative value that AI delivers to a multitude of economic sectors. But there is a critical need to bridge the exploding demand to the overall cost, efficiency, and ease of scaling AI compute, across all customers seeking to take control of their distributed AI infrastructure and services,” Enfabrica CEO Rochan Sankar said in a statement. “Much of the scaling problem lies in the I/O subsystems, memory movement and networking attached to GPU compute, where Enfabrica’s ACF solution shines. Our Series B funding and investors are an endorsement of our team and product thesis, and further enable us to produce high-performance ACF silicon and software that drive up the efficient utilization and scaling of AI compute resources. As an organization, we are hyper-focused to work with the larger ecosystem of partners and customers to solve the AI infrastructure scaling problem.”

The new investment more than quintuples Enfabrica’s total investment to $148 million. The new money is earmarked for additional research and business expansion. Enfabrica said its high-performance switching systems with ACF-S chips will be accessible to customers later this year. Enfabrica’s big-picture focus on the need for better generative AI infrastructure puts it in good company when it comes to funding. For instance, Imbue raised $200 million to work on incorporating reason and basic intelligence into AI, while Modular’s $100 million for streamlining generative AI infrastructure.

Generative AI Startup Imbue Raises $200M for ‘Reasoning’ Models

Context.ai Raises $3.5 Million for Generative AI Analytics

Generative AI Infrastructure Startup Modular Raises $100M