SambaNova Systems in Talks to Raise Up to $1B at $10B Valuation, Intel CEO Serves as Executive Chairman

SambaNova Systems, an AI chip startup founded in 2017, is in talks to raise between $800 million and $1 billion at an implied valuation of approximately $10 billion, excluding the new capital. The fundraising plans were first reported by The Information and disclosed publicly by Intel CEO Lip-Bu Tan, who also serves as SambaNova’s executive chairman.

Tan revealed the fundraising during a public event on Tuesday, as Yahoo Finance reported citing The Information. People familiar with the matter confirmed the details of the round, which would represent a significant capital infusion for a company competing directly with Nvidia in the AI accelerator market.

The Dual-Role Dynamic

Tan’s position as both Intel’s CEO and SambaNova’s executive chairman creates an unusual dynamic in the AI chip landscape. Intel has been working to regain relevance in AI accelerators under Tan’s leadership. His continued role at SambaNova, which builds AI server chips designed as alternatives to Nvidia’s dominant GPUs, highlights longstanding ties across the semiconductor ecosystem that predate his Intel appointment.

The fundraising does not directly benefit Intel and does not imply any ownership interest by the chipmaker, according to the Yahoo Finance report. For Intel investors, however, Tan’s dual role provides a window into the competitive AI chip market at a time when capital continues to flow heavily into Nvidia alternatives.

Demand for Nvidia Alternatives

SambaNova’s ability to command a $10 billion valuation reflects sustained investor appetite for AI chip alternatives. Cloud providers and AI developers have increasingly sought lower-cost options as Nvidia’s GPU dominance translates into supply constraints and premium pricing across the data center market.

The round would add SambaNova to a growing list of AI infrastructure startups attracting large capital commitments in 2026. According to a recent NCT analysis of AI agent startup funding data, AI infrastructure companies accounted for 20.7% of disclosed deal volume this year, with the broader AI agent ecosystem raising $2.9 billion across 50 equity deals.

Whether SambaNova can translate investor confidence into meaningful market share against Nvidia’s entrenched position remains the central question. Tan built a reputation as one of Silicon Valley’s most influential semiconductor investors before taking the Intel helm, and the SambaNova round signals that the capital markets continue to see viable alternatives to single-vendor dominance in AI compute.