Fractile Seeks $600M Raise at $6.5B Valuation, Sixfold Increase Since May

The UK chip startup previously secured $220 million in funding to build AI-specific hardware before signing a $250 million agreement with Anthropic. Fractile is now in talks to raise $600 million at a $6.5 billion pre-money valuation, sources said. The target is more than six times the approximately $1 billion valuation the company landed in May.

Investment in UK AI hardware has surged, with Callosum AI and Olix Computing raising $100 million and $312 million respectively in the last two weeks. The funding activity occurs as the UK seeks to position itself as a European center for chip development and artificial intelligence infrastructure.