Sep 10, 2026
Nvidia has put its Groq 3 LPX racks into full production following its $20 billion acquisition of Groq, with the SRAM-based language processing units achieving 3,400 tokens per second and Samsung manufacturing the 4-nanometer chips. The first deployment is set for Nebius Token Factory before year-end.
Groq has raised $350 million to fund its transition from AI chipmaker to neocloud provider offering GPU and AI infrastructure services. The funding comes as the neocloud sector expands with companies like CoreWeave, Nebius, Lambda, and Crusoe competing in the AI infrastructure market.
AI infrastructure startup Groq has raised $350 million in Series A funding at a $3.5 billion valuation, marking a strategic pivot from developing its own AI chips to becoming a neocloud provider offering GPU and AI infrastructure services. Notably, Nvidia has joined the funding round as the company shifts to using Nvidia-powered infrastructure.