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AI data center company Lambda secured $1.5 billion in funding led by TWG Global, a new $40 billion investment firm. The deal comes after Lambda finalized a multibillion-dollar agreement with Microsoft to supply AI infrastructure using Nvidia GPUs. Lambda competes with CoreWeave, which previously had a major contract with Microsoft, but now faces competition from OpenAI’s $12 billion partnership with CoreWeave. The funding round far exceeds earlier speculation about Lambda’s valuation, though the company declined to comment on its current worth. This marks a significant milestone for Lambda as it expands its AI infrastructure capabilities.
Key facts
- Lambda raised $1.5 billion in a funding round led by TWG Global, a $40 billion investment firm co-founded by billionaires Thomas Tull and Mark Walter.
- The company has a multi-billion-dollar deal with Microsoft to provide AI infrastructure using tens of thousands of Nvidia GPUs.
- Lambda competes with CoreWeave, which previously had a $1 billion contract with Microsoft but now faces competition from OpenAI’s $12 billion partnership.
- The funding surpasses earlier rumors about a $4 billion valuation, though Lambda did not confirm its current worth.
- TWG also manages assets like Walter’s stakes in the Lakers and a $15 billion AI-focused fund partnered with Mubadala Capital.
