Nvidia (NASDAQ:NVDA) is preparing to write a check for up to $1 billion to Poolside, an AI startup that has managed to quadruple its valuation in just 12 months, according to Bloomberg.
The deal puts Poolside at a $12 billion valuation, up from $3 billion in 2024. Poolside is raising a total of $2 billion, with commitments already exceeding $1 billion, including approximately $700 million from existing investors, people familiar with the matter told Bloomberg
Hedge fund Magnetar, known for its asset management business, is also in talks to participate in the funding, Bloomberg reported.
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Former GitHub executive Jason Warner co-founded Poolside in 2023 with Eiso Kant, establishing offices in both the U.S. and Paris.
The company launched its first product, an enterprise software-engineering platform, in 2024. According to Poolside, the system is already being tested in government and defense environments and serves as the foundation for its long-term goal of building artificial general intelligence, a form of AI capable of performing complex tasks across multiple domains.
Poolside’s platform integrates AI capabilities across multiple environments, including development tools, terminals, agents, and enterprise applications. Its foundation models operate within customer-controlled security boundaries, either on-premises or in Virtual Private Clouds, so sensitive data remains under client management, according to Poolside’s website.
Nvidia’s planned investment begins at $500 million and could expand to $1 billion if fundraising goals are achieved, Bloomberg said. The chipmaker was an earlier backer of Poolside, strengthening its ongoing role in the company’s growth.
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Nvidia, led by CEO Jensen Huang, has become one of the most valuable public companies while expanding a network of AI ventures that could evolve into long-term partners. Poolside is part of that growing ecosystem and intends to allocate a portion of its new funding toward Nvidia’s GB300 chips, Bloomberg reported.
Data from PitchBook, cited by Bloomberg, shows Nvidia had invested in 59 AI startups through mid-October, surpassing its total for the previous year. The company also holds stakes in Perplexity AI, an AI search platform, and Figure AI, a robotics developer focused on humanoid systems.
