CScale exits stealth with $145m to stop laser failures stalling AI

CScale, a Palo Alto startup, has raised $145 million in Series C funding to develop reliable optical interconnects for AI data centers, aiming to prevent laser failures from disrupting compute operations. The funding round, led by Atreides Management with strategic investors Nvidia and Intel Capital, brings total funding to $188 million. CScale's technology focuses on maintaining continuity in large-scale AI systems spanning multiple racks by containing optical failures.