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# CScale exits stealth with $145m to stop laser failures stalling AI

**[The Next Web](https://daily.dev/sources/tnw)** · 2 min read · 0 upvotes · 0 comments

## Summary

CScale, a Palo Alto startup building optical interconnect technology for AI data centers, has exited stealth mode with $145m in Series C funding, bringing its total raised to $188m. Atreides Management led the round with Valor Equity Partners, Premji Invest, Sutter Hill Ventures, and Maverick Silicon, while Nvidia and Intel Capital joined as first-time strategic investors. The company builds an integrated light engine designed to contain optical failures without interrupting compute, aiming to link thousands of accelerators as single large AI systems spanning many racks. CEO Martin Lund previously led Broadcom's switching business and Cisco's Common Hardware Group, while CTO Sanjai Kohli co-founded SiRF and Inovi. The funding fits a broader wave of large rounds for AI interconnect startups, including Lumilens ($700m), Celero ($275m), and Eliyan ($145m).

## Full article

daily.dev links to this article rather than hosting it. Read it at the original source: <https://thenextweb.com/news/cscale-145m-series-c-optical-interconnect-ai>

## Questions this post answers

### How much funding did CScale raise in its Series C round and who led it?

CScale raised $145 million in Series C funding, led by Atreides Management with Valor Equity Partners and Premji Invest as co-leads. Existing backer Sutter Hill Ventures and Maverick Silicon also participated, while Nvidia and Intel Capital joined as the company's first strategic investors. Total funding raised to date is $188 million.

_Investors tracking AI infrastructure funding rounds can follow deals like this one on daily.dev._

### What problem is CScale's optical interconnect technology trying to solve for AI data centers?

CScale builds an integrated light engine designed to let thousands of accelerators function as one much larger computer, with links that become essential once a single AI system spans dozens of racks. Its core pitch is reliability: containing optical failures so they do not interrupt compute, since every optical failure otherwise becomes a compute failure.

_Engineers evaluating AI data center interconnect options can track emerging approaches like this on daily.dev._

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- [Enlightra Raises $15M to Advance Laser Interconnects for AI and Quantum Systems](https://daily.dev/posts/enlightra-raises-15m-to-advance-laser-interconnects-for-ai-and-quantum-systems-ogty3or33) · The Quantum Insider · 0 upvotes · 0 comments
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---

Tags: [#startup](https://daily.dev/tags/startup), [#nvidia](https://daily.dev/tags/nvidia)

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