Groq Raises $650M to Pivot From Chip Maker to AI Inference Neocloud, Targeting 200 MW Capacity by End of 2027

Groq has closed a $650 million raise led by Disruptive and Infinitum as the startup executes a full pivot following its December 2025 IP licensing deal with Nvidia, under which senior staff moved to Nvidia and Groq's LPU hardware technology was licensed to the chip giant. The new entity is abandoning chip manufacturing to operate as an AI inference neocloud—running enterprise workloads on its own silicon—and is targeting 200 MW of capacity by end of 2027. The round comes after a $750 million raise in 2025 and positions Groq as a services player in an inference market that now includes Baseten (recently valued at $13B), Cerebras, and SambaNova.