# Tether Investments Backs Tenstorrent's $1.5 Billion AI Chip Round

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/34822
Published: 2026-10-19T14:07:25.000Z
Updated: 2026-10-19T14:07:25.000Z
Section: Business

> The Series E valued Tenstorrent at $6.2 billion after the investment. Trace Capital and Innovation X led the round.

Tenstorrent plans to use its new $1.5 billion financing to expand chip manufacturing and deploy Galaxy servers globally. Tether Investments was among the investors.

The round valued Tenstorrent at $6.2 billion after the investment. Trace Capital and Innovation X led the financing, announced Oct. 19. Other participants included ARK Invest, Morgan Stanley, Sandisk and Fidelity Management & Research Company.

Tenstorrent plans to use the money to increase manufacturing capacity and expand its commercial operations globally. It also intends to deploy more Galaxy servers and advance the AI and CPU intellectual property it licenses to customers designing their own chips.

The Galaxy servers support open-weight language models and video-generation workloads. A Galaxy Blackhole server contains 32 Blackhole chips and starts at $110,000. Tenstorrent also builds RISC-V-based AI processors and systems, and provides software tools for developers and enterprises.

Its licensable designs include TT-Ascalon CPU and Tensix AI cores. Samsung and LG are among its chip-design customers. “We built one architecture and sell it at every size,” Tenstorrent CEO Jim Keller said.

The new financing follows a December 2024 Series D that raised more than $693 million at a $2 billion pre-money valuation. Samsung Securities and AFW Partners led that round.