AI cloud company Lambda is raising up to $4 billion at a $14.5 billion pre-money valuation, led by Coatue Management and Blackstone, ahead of a planned 2027 public offering, The Wall Street Journal reported. Lambda rents out GPU computing power for AI workloads, and its contract backlog jumped from $15 billion in June to $50 billion in September. Anthropic accounts for $35 billion of that backlog through a deal signed in late August. The company also raised $1 billion in debt the week before to buy chips, a reminder that much of the AI data-center buildout runs on borrowed money. That leaves Lambda’s growth story tied closely to one customer relationship and to lenders’ willingness to keep financing it.
Sources: TechCrunch.