Groq targets $650 million fundraise after Nvidia licensing deal, Axios reports

Groq targets $650 million fundraise after Nvidia licensing deal, Axios reports Nvidia's Groq 3 chips at the company's GTC conference in San Jose · Reuters Reuters Thu, May 28, 2026 at 5:02 PM GMT+2 1 min read GROQ. PVT NVDA May 28 (Reuters) - Groq is raising up to $650 million from existing investors, Axios ‌reported on Thursday, after the AI ‌chip startup signed a $17 billion licensing deal with Nvidia ​in December. Groq has been shifting focus away from hardware toward AI inferencing, where it specializes in enabling trained AI models to ‌respond to user ⁠requests.

• The startup's investors have already received payouts, with a final cash ⁠distribution expected soon through the Nvidia deal, Axios reported. • Investors are now being asked ​to participate ​in Groq 2. 0, ​with existing backers ‌Disruptive and Infinitum backstopping the $650 million raise if it is not fully subscribed, the report said.

• Existing shareholders will receive the remaining cash distributions and then have the opportunity ‌to invest in a ​new company, Axios reported. • ​Groq did not ​immediately respond to Reuters' request ‌for comment. • Nvidia is ​preparing a version ​of its Groq AI chips that can be sold to the Chinese market, ​two sources ‌familiar with the matter told Reuters in ​March.