GPU cloud company secures first-of-its-kind GPU-backed facility led by Macquarie with participation from Industrial Development Funding
Lambda, the GPU cloud company founded by AI engineers and powered by NVIDIA GPUs, today announced that it has secured a special purpose GPU financing vehicle of up to $500 million to fund the expansion of its on-demand cloud offering. The financing was led by Macquarie Group (“Macquarie”) with participation from Industrial Development Funding (“IDF”), and follows Lambda’s $320 million Series C funding round in February 2024.
“This first-of-its-kind financing vehicle unlocks a new way to fund the deployment of tens of thousands of NVIDIA GPUs,” said Mitesh Agrawal, Lambda COO. “Lambda’s mission is to continue to build the best AI compute platform in the world, and this structure lets our AI startup customers build the next generation of iconic companies on top of our cloud without the barrier of expensive multi-year contracts.”
This innovative asset-based structure is secured by the GPUs and supported by their cash flow generation. It represents a significant milestone within the AI compute market, and allows Lambda to fund on-demand cloud deployments for thousands of users without the need for them to sign a long-term contract. Securing funding for an on-demand offering is rare and serves as a testament to the leadership position and explosive demand for Lambda Cloud, which has more than 100,000 customer sign-ups. This financing supports NVIDIA GPU deployments for AI developers training, fine-tuning, and inferencing generative AI models in Lambda Cloud. Lambda also supports NVIDIA AI Enterprise to deliver a complete stack for generative AI developers.
“As demand for computing picks up pace alongside the widespread integration of LLMs and generative AI, we’re happy to support Lambda as they deliver what AI engineers need,” said Don Trent, Senior Managing Director in Macquarie Group’s Commodities and Global Markets business. “We’re proud to partner with Lambda on such a pioneering effort and support the buildout of GPU cloud infrastructure that will transform industries and businesses alike.”
Lazard served as exclusive financial advisor and placement agent to Lambda on this transaction. To learn more about Lambda’s cloud offerings for AI training and inference, click here.
About Lambda
Lambda was founded in 2012 by AI engineers with published research at the top machine learning conferences in the world. Our goal is to become the #1 AI compute platform serving developers across the entire AI development lifecycle. We enable AI engineers to easily, securely and affordably build, test and deploy AI products at scale. Our product portfolio spans from on-prem GPU hardware to hosted GPUs in the cloud. Lambda’s mission is to create a world where access to computation is as effortless and ubiquitous as electricity.
About Macquarie Group
Macquarie Group Limited (Macquarie) is a global financial services group providing clients with asset management, retail and business banking, wealth management, leasing and asset financing, market access, commodity trading, renewables development, specialist advice and access to capital and principal investment. Founded in 1969, Macquarie employs over 21,000 people in 34 markets. Commodities and Global Markets (CGM), an operating group of Macquarie, has more than 40 years of partnering with clients to provide capital and financing, risk management, market access, and physical execution and logistics solutions across commodities, financial markets, and asset finance sectors. For further information, visit www.macquarie.com.
About Industrial Development Funding
Industrial Development Funding, LLC (“IDF”) is an investment advisor registered with SEC that manages capital for Qualified Institutional Buyers. IDF’s proprietary funding solutions enable large industrial companies to sell existing products or introduce new products to the marketplace. IDF provides bespoke primary credit solutions to companies across the digital infrastructure, power and transportation sectors. Website: www.indevfunding.com
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