AI networking startup CScale announced a $145 million Series B round led by prominent venture capital firms, with participation from existing backers. The funding will be used to develop its next‑generation AI networking hardware capable of supporting gigawatt‑scale compute workloads, a critical need as large language models and generative AI applications demand ever‑greater bandwidth and low‑latency connections.

CScale’s roadmap includes the rollout of proprietary silicon‑based switches and software‑defined networking stacks designed to reduce energy consumption while boosting data throughput. Industry observers see this investment as a signal that the market is shifting focus from pure AI model innovation to the underlying infrastructure required to sustain massive AI deployments, potentially reshaping the competitive dynamics among cloud providers and specialized AI hardware vendors.

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