October 20, 2026 / SemiMedia / — AI chip company Tenstorrent announced on October 19 that it had closed a $1.5 billion Series E funding round at a $6.2 billion post-money valuation, more than double its $2.6 billion valuation in late 2024.

Trace Capital and Innovation X jointly led the round. Participants included new and existing investors Sandisk, Cadence Ventures, Tether Investments, T. Rowe Price, ARK Invest and Fidelity.

Tenstorrent will use the funding to expand deployments of its Galaxy servers, supporting open-weight models for applications including large language models and video generation. It will also advance the AI and CPU intellectual property it licenses to customers developing their own chips.

Led by CEO Jim Keller, Tenstorrent supplies AI chips, computing systems and software, with offerings ranging from accelerator cards and workstations to racks and large computing clusters. The financing will support volume manufacturing and global commercial expansion.