Modal Labs nears $750M round at $15.75B valuation

AI inference infrastructure provider Modal Labs is nearing a $750 million funding round led by Accel at a $15.75 billion valuation, more than tripling its $4.65 billion valuation from just four months ago. The deal reflects surging demand for inference services, particularly from open-source model users. As of May, Modal had surpassed $300 million in annualized revenue. Other inference startups including Baseten, Fireworks, and Fal are also in talks to raise at significantly higher valuations, with multiple expected to reach $1 billion in annualized revenue by year-end.