Groq seeks $6B valuation for AI chips

U.S. semiconductor startup Groq is looking to raise $300-500 million at a $6 billion valuation to fulfill a deal with Saudi Arabia, bringing in about $500 million in revenue this year from the contracts. Groq raised $1.5 billion commitment in February for AI chips delivery to Saudi Arabia, adapting Meta’s chatbot for its chips.

In August, Groq raised $640 million in funding, led by Cisco Investments, Samsung Catalyst Fund, and BlackRock Private Equity Partners, reaching a $2.8 billion valuation. The Silicon Valley firm specializes in AI inference chips that optimize speed and execute commands for pre-trained models. Groq did not respond to Reuters request for comment.

Read more at Yahoo Finance: AI chip startup Groq discusses $6 billion valuation, The Information reports