February 12, 2025:
Groq Secures $1.5B for AI Chip Expansion - Groq Inc. has secured a $1.5 billion commitment from Saudi Arabia to expand its AI chip delivery and establish a data center in Dammam. Groq's LPU chips, which are optimized for large language models, offer greater energy efficiency and easier programmability compared to traditional GPUs.
These chips are integral to the GroqRack appliance and the GroqCloud platform, both aimed at enhancing AI processing and minimizing dependence on external networking components. This funding comes after a $640 million raise, valuing Groq at $2.8 billion, and is intended to bolster AI infrastructure in Saudi Arabia.
