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Nscale, a rising force in the AI infrastructure arena, has secured $155 million in its latest round of funding. This is a very big deal for the company and marks a turning point, as it will be using this money to expand its innovative platform and meet the increasingly growing global demand for scalable and sustainable cloud services for AI and high-performance computing.
Nscale’s Vision: Revolutionizing AI Infrastructure
Nscale is a company that was established in 2024, focusing on delivering cutting-edge, sustainable AI cloud infrastructure to businesses. Its core platform supports a range of compute-intensive applications, such as generative AI, large language models (LLMs), and other advanced AI workloads. The company runs its data centers on renewable energy; for example, its flagship 60MW facility in Glomfjord, Norway, utilizes hydroelectric power to offer a more environmentally friendly alternative to traditional data center operations.
Unlike many players in the AI infrastructure space, Nscale has a more integrated approach: it runs from the bottom of the hardware stack – including GPUs — up to the software layers for better efficiency and economical solutions for customers. Now with over 500 MW of data center capacity headed into the United States as part of its pipeline, this places Nscale well towards a leadership position in both the AI and high performance cloud computing segments.
Harness Green Energy and Scalable Infrastructure
One of Nscale’s standout features is its commitment to sustainability. The company’s data centers, such as the one in Glomfjord, are powered entirely by renewable energy. This focus on green energy is in response to growing concerns around the environmental impact of data processing and AI. By offering services with a minimal carbon footprint, Nscale not only addresses the global demand for sustainable computing but also supports enterprises looking to reduce their own environmental impact.
The company’s platform supports multiple AI workloads, such as training, fine-tuning, and inference. Nscale offers both public and private cloud services, where clients can rent GPU capacity on demand or reserve dedicated clusters for ongoing projects. With hardware support spanning both AMD and NVIDIA GPUs, Nscale is equipped to meet the diverse needs of AI-driven businesses.
A Strong Path Forward: The $155 Million Funding Round
Series A funding of $155 million has reached a new milestone for Nscale. Led by Sandton Capital Partners and contributed to by Kestrel, Bluesky Asset Management, and Florence Capital, this round has shown investor confidence in the possibility that Nscale will make changes in the AI cloud infrastructure market.
This new capital will be used to fuel growth in a number of key areas.
Data Center Expansion: Nscale plans to increase its data center capacity across the U.S. and Europe, responding to the ever-growing demand for AI computing services.
Modular Data Center Solutions: With its recent acquisition of Kontena, a modular AI data center provider, Nscale aims to deploy cost-effective, scalable infrastructure rapidly, particularly in remote or edge locations.
Strategic Partnerships: Nscale is already expanding its reach through collaborations with global partners, such as Singtel in Southeast Asia. The funding will enable further such partnerships, strengthening the company’s global footprint.
Software Development: The company is also doubling down on developing its cloud platform, with plans to release a public cloud offering in January 2025. This will allow businesses to access Nscale’s full suite of AI infrastructure services through a user-friendly interface
Sustainability and Scalability at the Core
Nscale’s platform is built with sustainability in mind, and it is scalable. Its unique approach combines green energy, modular infrastructure, and cutting-edge hardware to meet the growing demands of AI-driven applications.
With renewable-powered data centers, Nscale is giving customers a high-performance, energy-efficient alternative to the way cloud providers deliver service traditionally. Increasingly, in the space of AI infrastructure, sustainability combined with scalability will be the critical differentiator. With a fastening acceleration of AI resources, commitment to the environment ensures Nscale leads the charge of this essential conversation.
Market Opportunity
As artificial intelligence becomes more central to industries ranging from healthcare and finance to entertainment and technology, the need for specialized AI infrastructure is more critical than ever. Nscale’s platform is uniquely positioned to serve this growing market, offering enterprises a scalable, cost-effective solution for running AI applications.
The generative AI sector alone is expected to grow exponentially in the years to come, and so is the demand for strong, flexible cloud computing solutions. Its modular data center model and access to diverse GPU hardware make Nscale well-positioned to meet the needs of businesses that seek reliable, scalable, and sustainable AI infrastructure.
