Groq LLC Executive Chairman Alex Davis has discussed a Series B with investors at an $8 billion pre-money valuation, Bloomberg reported, as data center stocks faced pressure.
The proposed figure is set before any proceeds from the Series B are included. Groq's Aug. 17 announcement put the round's proceeds at $350 million and its post-money valuation at $3.5 billion. The company also said it raised $650 million in June. Bloomberg reported an August pre-funding value of $3.15 billion, making the proposed valuation roughly 2.5 times that amount.
Bloomberg linked weakness in CoreWeave and Nebius shares to investor concerns about borrowing to build AI infrastructure.
Groq's data centers supply computing power used to run trained AI models. In August, the company reported 13 data centers across Asia Pacific, the Middle East, Europe and North America. It put capacity at 54 megawatts and projected at least 200 megawatts in 2027.
