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Upscale AI Raises $200M Series A for AI Networking


Upscale AI Raises $200M Series A for AI Networking
  • by: Source Logo
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  • January 22, 2026

Upscale AI, Inc., a pure-play AI networking infrastructure company, has raised $200 million in Series A funding led by Tiger Global, Premji Invest, and Xora Innovation, with participation from Maverick Silicon, StepStone Group, Mayfield, Prosperity7 Ventures, Intel Capital, and Qualcomm Ventures. This brings the company's total funding to over $300 million, underscoring strong investor confidence in addressing networking as a critical bottleneck for scaling AI workloads.

Quick Intel

  • Upscale AI raises $200M Series A led by Tiger Global, Premji Invest, and Xora Innovation, totaling over $300M in funding.
  • The investment targets AI networking challenges, where traditional architectures fail to support massive, synchronized AI compute scale-up.
  • Upscale's SkyHammer™ solution unifies GPUs, accelerators, memory, storage, and networking into a single synchronized AI engine.
  • The platform advances open standards including UALink, Ultra Ethernet, SONiC, and SAI, with active roles in key consortia like Ultra Accelerator Link and Ultra Ethernet.
  • Funding will accelerate engineering, sales, operations expansion, and commercial deployment of full-stack silicon, systems, and software solutions.
  • Solutions are set to ship this year, with early traction from hyperscalers and AI infrastructure operators seeking open, scalable alternatives.

Upscale AI addresses a fundamental limitation in current data center networking: legacy systems designed for general-purpose compute and storage are ill-equipped for the demands of AI, where tight synchronization and low latency across vast clusters are essential. Traditional networking connects discrete endpoints, while AI networking must unify the entire cluster to enable efficient scaling of specialized AI accelerators.

From its inception, Upscale AI has developed purpose-built infrastructure to overcome these constraints. Its SkyHammer™ scale-up solution collapses distances between accelerators, memory, and storage, transforming the rack into a cohesive, high-performance system optimized for AI workloads including training, inference, generative AI, edge computing, and cloud-scale deployments.

The company's approach emphasizes open standards and technologies such as ESUN, Ultra Accelerator Link (UAL), Ultra Ethernet (UEC), SONiC, and the Switch Abstraction Interface (SAI). Upscale actively contributes to industry bodies including the Ultra Accelerator Link Consortium, Ultra Ethernet Consortium, Open Compute Project, and SONiC Foundation, promoting interoperability and choice in AI infrastructure.

"This investment accelerates our mission to fundamentally re-architect networking for the AI era," said Barun Kar, CEO of Upscale AI. "With a world-class team and strong customer pull, we have a once-in-a-generation opportunity to build the open AI networking platform the industry has been waiting for."

"Upscale AI has built extraordinary momentum in an exceptionally short time," said Rajiv Khemani, Executive Chairman of Upscale AI. "The market is demanding open, scalable AI networking solutions, and Upscale AI is uniquely positioned to help customers break through today's networking constraints."

The new capital will fuel rapid team growth and the rollout of the first full-stack, turnkey AI networking platform spanning silicon, systems, and software. Designed for the heterogeneous future of AGI, these solutions aim to deliver proprietary-grade performance through open architectures, reducing complexity and enabling broader AI adoption.

Industry observers and partners highlight the timeliness and potential of Upscale AI's approach. Analysts note that AI networking is projected to become a $100B annual market by decade's end, with the sector at an inflection point driven by AI demands.

 

About Upscale AI 

Upscale AI is a high-performance AI networking company accelerating AI democratization through open-standard, full-stack, turnkey solutions. Its portfolio of silicon, systems, and software is purpose-built for ultra-low-latency networking, enabling breakthrough performance and scalability across AI training, inference, generative AI, edge computing, and cloud-scale deployments.

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