SpaceX, Reflection AI ink $150M monthly compute deal through 2029

OpenAI acquired patents from Rain AI, an eight-year-old chip startup backed by CEO Sam Altman, after the company failed to find a buyer and nearly shut down. OpenAI had previously signed a nonbinding letter of intent in 2019 to spend $51 million on Rain's chips, but the deal never materialized because the agreement required a successful chip pilot that never occurred. The patent acquisition represents a limited engagement compared to OpenAI's deeper business relationships with other Altman-backed companies like Cerebras and Helion Energy.

Sequoia Capital is intensifying its focus on AI by aggressively courting Etched, an AI chip startup founded by Harvard students, during its Series C fundraising round. After passing on the company's seed round in 2023, Sequoia deployed multiple senior partners including co-leader Pat Grady and former leader Doug Leone to win the deal, including visits to Etched's headquarters and the founders' homes. The move signals Sequoia's commitment to backing AI infrastructure plays, particularly in semiconductors, under its new leadership structure.

Apollo Global Management has appointed partner Reed Rayman to lead chip-focused coverage and coordinate teams pursuing large AI infrastructure financing deals. The move follows Apollo's $35 billion Broadcom financing deal and aims to establish the firm as a repeat player in megadeals serving chipmakers and tech companies driving AI buildout. Rayman will develop relationships to help Apollo lead complex digital infrastructure financings across its investment teams.

Anthropic is building an internal team to design custom AI chips, moving beyond reliance on third-party hardware providers. The company plans to co-design hardware and models to improve performance and efficiency of its Claude AI systems. This represents a strategic shift toward vertical integration in the AI infrastructure stack.