Korean AI chip Rebellions aims to raise $100M in funding

Rebellions Inc., a South Korean startup, is currently in talks for a Series B financing round that could catapult the company's value beyond $500M. This fundraising effort is aimed at securing roughly $100M from investors across the globe.

• Upcoming Plans: Building a next-generation AI chip, aptly named "Rebel", which is expected to cater to the increasing demand for hardware capable of powering AI services. Additionally, there are plans to engage with firms in Japan, Hong Kong, Singapore, and Europe that are expected to close by the end of the year.

• Raising Competition: Rebellions also aims to compete in the fast-paced market of AI-compatible semiconductors against international startups like California-based Groq Inc., Toronto-based Tenstorrent Inc., and global leaders such as Nvidia Corp.

• Background: Rebellions Inc. is part of a growing wave of companies benefiting from a surge of global capital directed at firms focused on advanced AI technology, a trend sparked by the introduction of OpenAI's groundbreaking ChatGPT. The Korean startup also plans to leverage government support, given South Korea's commitment of approximately 826 billion won ($615M) to support local AI chip designers until 2030.

• Market Status: In Korea, rivals include FuriosaAI, backed by search leader Naver Corp. and the state-run Korea Development Bank, and Sapeon Inc. Rebellions Inc.'s current backers include KT Corp., Korea Development Bank, internet conglomerate Kakao, and Singapore's Pavilion Capital.

In their journey towards creating the "Rebel" chip, Rebellions Inc. is partnering with Samsung for its manufacturing expertise and its cutting-edge 4-nanometer technology.