Groq raises $650m to expand AI inference cloud operations

Investing.com -- Groq announced Monday it has secured $650 million in new growth capital to expand its AI inference cloud infrastructure. Disruptive and Infinitum led the funding round, with participation from existing investors who chose to reinvest.

The company operates 13 data centers across North America, Europe, the Middle East and Asia-Pacific. Groq currently serves more than five million developers and thousands of AI-native companies that process trillions of tokens weekly.

The funding will support the deployment of Groq's latest inference technology across its existing data center network, including NVIDIA's new LPX system. The company plans to scale toward 200 megawatts by the end of 2027.

Groq entered a non-exclusive licensing agreement with NVIDIA in December 2025. At this year's GTC conference, NVIDIA announced its next-generation LPX platform, which incorporates Groq's inference technology.

The company has appointed a new leadership structure centered on AI inference operations. Alex Davis of Disruptive serves as chairman. Chief Executive Officer Adam Winter and Chief Financial Officer Matt Eng continue in their roles.

Alan Rice joined as Chief Operating Officer, bringing experience from xAI, now SpaceXAI, and Meta Datacenters. Rice previously served in U.S. Navy nuclear submarine operations.

Starting in July, Sinclair Schuller will serve as Chief Technology Officer and Rakesh Malhotra as Chief Product Officer. Schuller founded Apprenda, which was later sold to Atos, and co-founded Nuvalence with Malhotra. EY acquired Nuvalence in 2024. Malhotra spent approximately ten years at Microsoft working on cloud, data-center-management, and enterprise-storage products.

"Groq has spent years building the technology, infrastructure, and operational expertise required for the next phase of AI," said Alex Davis. "Today, the company has a proven global platform, a world-class leadership team, and a clear strategy focused on one of the most important opportunities in technology: AI inference at scale."

John Yetimoglu, Groq board member and Founder and Chief Investment Officer of Infinitum, said, "We believe inference will become the largest infrastructure market in technology. As AI moves from experimentation to production, demand for reliable, cost-efficient inference will continue to grow exponentially."

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