Nvidia and Snowflake Fuel Reka AI's Billion-Dollar Valuation with $110M Funding Round

Reka AI, a startup spun out of former Google and Meta research labs, secured $110 million in Series B financing, tripling its valuation to over $1 billion. Backers include Nvidia and Snowflake, which plan to integrate Reka's large language models into their AI ecosystems. The fresh capital will fuel development of more efficient, customizable models aimed at industries such as financial services and healthcare.

Title: Reka AI Secures $110 Million in Series B Funding, Tripling Valuation to Over $1 Billion

July 2, 2025 - Reka AI, a startup born from the research labs of Google and Meta, has secured $110 million in Series B funding, more than tripling its valuation to over $1 billion. The funding round, led by Nvidia and Snowflake, underscores the growing potential of the enterprise AI market and the startup's innovative approach to large language models (LLMs).

Founded in 2022 by Dani Yogatama and a team of AI veterans, Reka AI specializes in designing bespoke large language models for enterprise customers. The fresh capital will enable the company to develop more efficient and customizable models, targeting industries such as financial services and healthcare.

Nvidia's investment signals confidence in Reka's ability to optimize inference workloads on Nvidia GPUs, positioning the startup for rapid expansion in the burgeoning enterprise AI market. Meanwhile, Snowflake's head of AI engineering, Vivek Raghunathan, has indicated that the cloud data platform plans to make Reka's models available through its marketplace. This integration will help clients deploy advanced AI without managing the underlying infrastructure.

Last year, preliminary talks for Snowflake to acquire Reka fell apart, with both parties deciding to remain independent. However, strategic partnerships continue, with Reka collaborating on performance tuning for Snowflake's GPU-accelerated queries.

The funding round comes as Nvidia's stock reaches a new all-time high, hitting $174.28 with a market capitalization of $4.23 trillion. This milestone reflects the company's robust growth trajectory, with revenue surging 86.17% and stock price climbing by an impressive 54.02%. Nvidia's performance has been buoyed by strong demand for its graphics processing units (GPUs) and advancements in artificial intelligence technologies.

These developments underscore the dynamic and rapidly evolving landscape of the tech and AI sectors, with investors remaining optimistic about the future prospects of companies like Reka AI and Nvidia.

References:
[1] https://finance.yahoo.com/news/nvidia-snowflake-power-reka-ai-230010848.html
[2] https://www.investing.com/news/company-news/nvidia-stock-reaches-alltime-high-at-17428-93CH-4153442