It was a slower week for big rounds compared to many previous weeks. Nevertheless, $1 billion went to one other artificial intelligence startup this week, and biotech and blockchain also saw some big deals.
1. AI scales$1 billion, artificial intelligence: This week was like many others – one culminating in a big round of AI. Scale AI raised $1 billion in a round led by Speed up which values the data labeling and assessment startup at a staggering $13.8 billion. The valuation is almost double the $7.3 billion the San Francisco-based startup achieved after its $325 million raise in April 2021. The latest financing included several of the biggest names in the technology industry, including: Nvidia, Meta AND Amazon all investments. Scale AI’s latest round is the second $1 billion raise this month for a US-based AI startup CoreWeave raised a whopping $1.1 billion in a latest round of financing led by Coat in a transaction that valued the company at $19 billion, according to The Wall Street Journal. Scalable AI plays a key role in building large language models and accurately marking text, images, video and voice data. The startup also creates and refines data sets.
2. AltruBioUSD 225 million, biotechnology: AltruBio was the biggest biotech raise of the week, securing a $225 million Series B raise at the helm BVF Partners. The San Francisco-based startup is developing drugs to treat ulcerative colitis and other immune diseases. The latest funds will probably be used to support ongoing and planned Phase II clinical trials for ulcerative colitis. Founded in 2000, AltruBio has raised nearly $328 million, on Crunchbase.
3. Farcaster$150 million, blockchain: Is Web3 funding back? There was modest growth in the first quarter and more such rounds will help as social media platform Web3 Farcaster raised a $150 million round led by Paradigm. The startup will use the latest money to grow its user base and add programming tools. It was in March reported Merkle Manufactory — the Web3 social media company behind Farcaster — has been in talks with enterprise investors about a latest round of funding that might value the company at greater than $1 billion.
4. sun$125 million, artificial intelligence: Investors cannot get enough of the alternative ways to use generative AI. Music startup Suno has raised a $125 million round in the lead Partners of the Lightspeed enterprise, Nat Friedman, Daniel Gross, Matrix AND Founder of the Collective. The Cambridge, Massachusetts-based startup allows users to create songs based on easy text prompts, generating voice, lyrics and music. IN announcing as a part of the deal, the company stated that 10 million people have already created music using Suno, though the company released its first product only eight months ago.
5. Progentos TherapyUSD 65 million, biotechnology: Watertown, Mass.-based Progentos Therapeutics closed a $65 million Series A led by a company from the Netherlands Forbion capital partners. A biotechnology company is trying to regenerate myelin and restore function in patients with multiple sclerosis, a disease that affects almost 3 million people around the world. Founded last yr, this is the company’s first announced raise, on Crunchbase.
6. (sure) Allez’s health$60 million, health care: Carlsbad, California-based Allez Health, formerly Zense-Life, raised $60 million in Series A+ led by Osanga Health Care. The startup develops smart biosensors for connected digital health platforms. Founded in 2018, the company has raised over $62 million, on Crunchbase.
6. (sure) Tuesday Health$60 million, health care: Nashville, Tennessee-based Tuesday Health, an advocacy organization providing care and support to seriously unwell patients and caregivers, has secured a $60 million strategic investment from the company Valtruis, Blue Venture Fund, General Mass Brigham Ventures AND Source of care. Founded last yr, this is the company’s first announced raise, on Crunchbase.
8. 280 Earth$50 million, climate technology: Mountain View, California-based 280 Earth, a direct air capture startup to remove carbon dioxide from the atmosphere, has raised $50 million in Series B capital from a handful of investors, including Alphabet. Founded in 2022, this is the company’s first announced raise, on Crunchbase.
9. Wayspring$45 million, health care: Wayspring, a Nashville, Tennessee-based substance abuse treatment startup, has collected: reported $45 million round led by CVS Health Ventures. Founded in 2012, the company has raised $161 million on Crunchbase.
10. Practice$35.5 million, edtech: Palo Alto, California-based language learning app Pratika raised $35.5 million in Series A funding, led by: A thriving capital. Founded in 2022, the company has raised $36.5 million, on Crunchbase.
Great global offers
While Scale AI’s massive raise dwarfed all others, there was one other big AI raise overseas.
- AI translation and language launch Deep L closed a $300 million round at a post-money valuation of $2 billion in a round led by Index ventures. The valuation is roughly double its previous valuation in January 2023 of over $1 billion.
Methodology
We tracked the largest announced rounds reported by U.S.-based corporations over the seven-day period from May 18 to May 24 in the Crunchbase database. While most announced rounds are represented in the database, there could also be a slight delay as some rounds are reported late in the week.