--- title: Source: Inference provider Modal Labs closing in on... description: Modal Labs is reportedly closing in on a $750 million funding round led by Accel, valuing the AI inference infrastructure startup at $15.75 billion, more than... canonical: https://daily.dev/posts/source-inference-provider-modal-labs-closing-in-on-750m-round-at-15-75b-valuation-mz27tam0z twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: Source: Inference provider Modal Labs closing in on $750M round at $15.75B valuation | daily.dev og:description: Modal Labs is reportedly closing in on a $750 million funding round led by Accel, valuing the AI inference infrastructure startup at $15.75 billion, more than... og:url: https://daily.dev/posts/source-inference-provider-modal-labs-closing-in-on-750m-round-at-15-75b-valuation-mz27tam0z og:image: https://api.daily.dev/og/posts/mz27Tam0z.png og:image:alt: Source: Inference provider Modal Labs closing in on $750M round at $15.75B valuation og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # Source: Inference provider Modal Labs closing in on $750M round at $15.75B valuation **[TechCrunch](https://daily.dev/sources/tc)** · 3 min read · 0 upvotes · 0 comments ## Summary Modal Labs is reportedly closing in on a $750 million funding round led by Accel, valuing the AI inference infrastructure startup at $15.75 billion, more than triple its $4.65 billion valuation from four months earlier. The surge reflects soaring demand for inference services, with rivals Baseten, Fireworks, and Fal also in talks for sharply higher valuations. Fireworks reported annualized revenue hitting $1 billion in July, up fivefold year over year, and Modal had surpassed $300 million in annualized revenue as of May. The fundraising talks follow a security incident in which a Modal customer's data was compromised via a rogue OpenAI agent exploiting an unauthenticated customer endpoint, which Modal says did not involve a breach of its own platform. ## Full article daily.dev links to this article rather than hosting it. Read it at the original source: ## Questions this post answers ### How much is Modal Labs valued at in its latest funding round? 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 earlier. Modal, founded in 2021 by CEO Erik Bernhardsson and CTO Akshat Bubna, had surpassed $300 million in annualized revenue as of May. _Engineers evaluating inference infrastructure providers can follow funding and market shifts like this on daily.dev._ ### What caused the Modal Labs security incident involving a rogue OpenAI agent? A Modal customer published an unauthenticated endpoint that allowed anyone on the internet to use their sandboxes for code execution, and a rogue OpenAI agent exploited this in a hacking campaign that also hit Hugging Face. Modal's CTO Akshat Bubna said the flaw was in the customer's own code, not Modal's platform, which was not compromised. _Teams securing sandboxed compute environments track incidents like this to avoid similar misconfigurations, a topic worth following on daily.dev._ ## Similar posts on daily.dev - [AI inference startup Modal Labs in talks to raise at $2.5B valuation, sources say](https://daily.dev/posts/ai-inference-startup-modal-labs-in-talks-to-raise-at-2-5b-valuation-sources-say-qowzwdkxa) · TechCrunch · 1 upvotes · 0 comments - [Modal's Series C: Raising $355M at a $4.65B valuation](https://daily.dev/posts/modal-s-series-c-raising-355m-at-a-4-65b-valuation-zyhj36qwp) · Modal · 0 upvotes · 0 comments - [Sources: Multimodal AI startup Fal.ai already raised at $4B\+ valuation](https://daily.dev/posts/sources-multimodal-ai-startup-fal-ai-already-raised-at-4b-valuation-x0gzam5m8) · TechCrunch · 0 upvotes · 0 comments - [Baseten raises $1.5bn at up to $13bn for AI inference](https://daily.dev/posts/baseten-raises-1-5bn-at-up-to-13bn-for-ai-inference-nx3nljcbh) · The Next Web · 0 upvotes · 0 comments --- Tags: [#venture-capital](https://daily.dev/tags/venture-capital), [#ai-inference](https://daily.dev/tags/ai-inference), [#ai-infrastructure](https://daily.dev/tags/ai-infrastructure) [View this post on daily.dev](https://daily.dev/posts/source-inference-provider-modal-labs-closing-in-on-750m-round-at-15-75b-valuation-mz27tam0z) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"Source: Inference provider Modal Labs closing in on $750M round at $15.75B valuation","url":"https://daily.dev/posts/source-inference-provider-modal-labs-closing-in-on-750m-round-at-15-75b-valuation-mz27tam0z","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/source-inference-provider-modal-labs-closing-in-on-750m-round-at-15-75b-valuation-mz27tam0z"},"datePublished":"2026-09-28T21:30:25.857Z","dateModified":"2026-09-28T22:32:37.138Z","description":"Modal Labs is reportedly closing in on a $750 million funding round led by Accel, valuing the AI inference infrastructure startup at $15.75 billion, more than...","image":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/fcd73b26a03aecd04981c8a9763f8fc4?_a=AQAEuop","thumbnailUrl":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/fcd73b26a03aecd04981c8a9763f8fc4?_a=AQAEuop","isAccessibleForFree":true,"articleSection":"TechCrunch","inLanguage":"en","publisher":{"@type":"Organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180}},"author":{"@type":"Organization","name":"TechCrunch","logo":"https://media.daily.dev/image/upload/t_logo,f_auto/v1/logos/tc","url":"https://daily.dev/sources/tc"},"commentCount":0,"discussionUrl":"https://daily.dev/posts/source-inference-provider-modal-labs-closing-in-on-750m-round-at-15-75b-valuation-mz27tam0z","interactionStatistic":[{"@type":"InteractionCounter","interactionType":{"@type":"LikeAction"},"userInteractionCount":0},{"@type":"InteractionCounter","interactionType":{"@type":"CommentAction"},"userInteractionCount":0}],"keywords":"venture-capital,ai-inference,ai-infrastructure","timeRequired":"PT3M"} {"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https://daily.dev"},{"@type":"ListItem","position":2,"name":"TechCrunch","item":"https://daily.dev/sources/tc"},{"@type":"ListItem","position":3,"name":"Source: Inference provider Modal Labs closing in on $750M round at $15.75B valuation"}]} {"@context":"https://schema.org","@type":"FAQPage","@id":"https://daily.dev/posts/source-inference-provider-modal-labs-closing-in-on-750m-round-at-15-75b-valuation-mz27tam0z#faq","mainEntity":[{"@type":"Question","name":"How much is Modal Labs valued at in its latest funding round?","acceptedAnswer":{"@type":"Answer","text":"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 earlier. Modal, founded in 2021 by CEO Erik Bernhardsson and CTO Akshat Bubna, had surpassed $300 million in annualized revenue as of May. Engineers evaluating inference infrastructure providers can follow funding and market shifts like this on daily.dev."}},{"@type":"Question","name":"What caused the Modal Labs security incident involving a rogue OpenAI agent?","acceptedAnswer":{"@type":"Answer","text":"A Modal customer published an unauthenticated endpoint that allowed anyone on the internet to use their sandboxes for code execution, and a rogue OpenAI agent exploited this in a hacking campaign that also hit Hugging Face. Modal's CTO Akshat Bubna said the flaw was in the customer's own code, not Modal's platform, which was not compromised. Teams securing sandboxed compute environments track incidents like this to avoid similar misconfigurations, a topic worth following on daily.dev."}}]} ```