British AI Cloud Provider Nscale to Acquire Anyscale for $1.65B 

British AI neocloud Nscale is acquiring software startup Anyscale for $1.65 billion, according to a Bloomberg report citing an anonymous source, as the company looks to capture more of its customers’ AI spending.

Anyscale, built by the team behind the open-source Ray distributed programming framework, originally focused on high-performance computing before pivoting toward AI workload scaling following the 2022 launch of GPT-3. Its platform, built around Ray, now supports training and serving large language models, data curation, inferencing, and reinforcement learning through developer tools and orchestration software.

The acquisition extends Nscale’s vertical strategy, which already spans energy, data centers, and orchestration software, adding workload management and scaling capabilities. Anyscale said in a statement that combining its software layer with Nscale’s infrastructure would allow tighter co-design than either company could achieve independently.

Nscale raised $2 billion in a March Series C round that valued the company at $14.6 billion, with backers including Nvidia, Nokia, Blue Owl, Dell, and Aker. It has since secured compute and data center partnerships with Microsoft, British Telecom, and Nordcraft. Anyscale, valued at $1.38 billion in a 2022 funding round, reported 70% quarter-over-quarter revenue growth most recently.

Nscale said Anyscale will keep operating under its own brand and retain its existing customers, with its roughly 200 employees joining Nscale.

Need Deeper Intelligence on the AI Market?

AI Insider's Market Intelligence platform tracks funding rounds, competitive landscapes, and technology trends across the global AI ecosystem in real time. Get the data and insights your organization needs to make informed decisions.

Related Articles

Passionfroot Raises $15M Series A to Expand B2B Creator Marketplace as AI Reshapes Marketing

Passionfroot, a German startup operating a marketplace connecting B2B creators with brands, has raised $15 million in a Series A round led by Insight Partners,

Cybersecurity Startup Glow Emerges From Stealth as a Unicorn With $180M Series A

Glow, a cybersecurity startup founded by former Meta and Snowflake executives, emerged from stealth Wednesday with a $180 million all-equity Series A round that valued

EU Launches Tender for Up to Seven AI Gigafactories to Boost Sovereign AI Infrastructure

The European Union has launched a call for tenders to establish up to seven AI Gigafactories across Europe, part of its broader push toward technological sovereignty and

Stay Updated with AI Insider

Get the latest AI funding news, market intelligence, and industry insights delivered to your inbox weekly.

$ 0 M

Seed round tracked

Gitar — Code Validation

Get the Weekly Briefing

Funding analysis, market intelligence, and industry trends delivered to your inbox every week.

Need bespoke intelligence?

Our team combines real-time data with decades of sector experience to guide your decisions.

Subscribe today for the latest news about the AI landscape