AI is changing the world. Don't stay behind. Clear summaries, community insight, delivered without the noise. Subscribe to never miss a beat.

Nvidia backs AI data center startup Nscale as it hits $14.6B valuation

Nvidia backs AI data center startup Nscale as it hits $14.6 billion valuation

cnbc.com

March 9, 2026

2 min read

🔥🔥🔥🔥🔥

43/100

Summary

Nscale has raised $2 billion, achieving a valuation of $14.6 billion, amid the ongoing AI infrastructure boom. The Series C funding round included participation from Nvidia, Aker ASA, and 8090 Industries, among others, and Nscale appointed three new directors to its board, including Sheryl Sandberg.

Key Takeaways

Nscale has raised $2 billion at a $14.6 billion valuation, marking significant growth in the AI infrastructure sector.
The company has secured partnerships with major tech firms, including a $14 billion deal with Microsoft and a collaboration with OpenAI for an AI data center in Norway.
Nscale plans to accelerate the development of vertically integrated AI infrastructure across Europe, North America, and Asia.
The startup is considering an initial public offering (IPO) as it continues to expand its operations and funding.

Read original article

Community Sentiment

Negative

Concerns

Building AI data centers in the UK raises concerns about high costs and energy scarcity, questioning the economic viability of such projects.
The financial backing of startups like Nscale may be more about financial engineering than actual operational feasibility, which could indicate instability.
There are doubts about Nscale's ability to deliver on its promises, with comparisons to failed startups like Theranos highlighting potential risks.
Nvidia's support for Nscale could create an uneven competitive landscape, favoring them over alternative GPU vendors and raising questions about market fairness.
Resistance against data centers in ideal locations, coupled with rising energy prices, suggests significant challenges ahead for new constructions.