# Groq Executive Chairman Seeks $8 Billion Valuation in Series B Pitch

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/52199
Published: 2026-11-09T09:58:56.000Z
Updated: 2026-11-09T09:58:56.000Z
Section: Business

> The proposed pre-money valuation is about 2.5 times the comparable value from Groq’s August funding round.

Groq LLC Executive Chairman Alex Davis approached investors about a Series B financing at an $8 billion pre-money valuation, testing demand for AI infrastructure as data center shares came under pressure.

A pre-money valuation excludes the funds raised in a new round. The proposed $8 billion figure is about 2.5 times Groq’s comparable August value of $3.15 billion. Groq raised $350 million in that Series A round at a $3.5 billion post-money valuation, which included the new funding. It also raised $650 million in June.

Groq operates data centers that provide computing capacity for AI inference, the process of running trained AI models. At its August funding announcement, the company operated 13 data centers across North America, Europe, the Middle East and Asia Pacific. Groq expected its capacity to grow from 54 megawatts to at least 200 megawatts in 2027.

Shares of data center operators CoreWeave and Nebius have sold off amid concerns about heavy borrowing to build AI infrastructure. Davis’s financing pitch comes against that backdrop.

Groq entered a nonexclusive technology licensing agreement with Nvidia in December 2025. Groq founder and former CEO Jonathan Ross and other employees joined Nvidia under the agreement, while Groq continued as an independent company.