AI Startup Reka Raises $110M, Hits $1B Valuation

Reka AI, a startup founded by ex-Google and Meta researchers in 2022, has reached a valuation of $1 billion after closing a $110 million funding round led by Nvidia and Snowflake. The AI company builds large language models efficiently and aims to become a go-to provider for powerful AI tools without being tied to Big Tech ecosystems. Reka's headcount has increased from 20 to 50 in the past year, and it offers tools beyond just models, including application logic and custom interfaces.

Reka AI, a startup founded by ex-Google and Meta researchers in 2022, has reached a valuation of $1 billion following a $110 million funding round led by Nvidia and Snowflake. The funding round more than triples the startup’s valuation, reflecting strong investor interest in the company's capabilities in large language models (LLMs) [1].

Reka AI specializes in creating efficient foundation models and offers tools beyond just models, including application logic and custom interfaces. The company has grown rapidly, increasing its workforce from 20 to 50 employees in the past year [1]. The investment comes at a time when young AI firms are being intensely pursued by investors and large tech companies [1].

Snowflake previously held talks with Reka AI regarding a potential acquisition but decided to move independently. The companies are continuing to collaborate, with Snowflake integrating Reka AI’s models and offerings into its services [1]. Vivek Raghunathan, vice president of AI engineering at Snowflake, highlighted Reka AI's unique capabilities, stating that "very few teams in the world have the capability to build what they’ve built" [1].

Reka AI's models are designed to be more efficient than competitors, and the company aims to become a go-to provider for powerful AI tools without being tied to Big Tech ecosystems. The startup's recent partnership with Oracle Cloud Infrastructure (OCI) to train models on NVIDIA GPUs underscores its infrastructure strategy [2].

The $110 million funding round is a significant milestone for Reka AI, positioning it as a key player in the AI landscape. The investment aligns with the broader trend of data platforms becoming AI platforms, as seen with Snowflake's open-sourcing of its Arctic LLM and Databricks' acquisition of MosaicML [2].

References:
[1] https://www.bloomberg.com/news/articles/2025-07-22/snowflake-nvidia-back-new-unicorn-reka-ai-in-110-million-deal
[2] https://www.ainvest.com/news/strategic-ai-infrastructure-partnerships-reka-ai-110m-funding-future-ai-collaboration-2507/