Etched, a startup developing AI chips and founded by Harvard dropouts, has raised USD 120 million in a Series A funding round led by Primary Venture Partners and Positive Sum Ventures, with participation from notable investors like Peter Thiel, Stanley Druckenmiller, and Kyle Vogt.
The funding will be utilized to develop “Sohu,” a specialized chip designed to handle transformer architecture for AI processing, aiming to compete with NVIDIA in the AI chip market.
Formed in 2022, Etched plans to develop architecture-specific AI chips. It claims transformers will become the dominant architecture for AI models, and by specializing in transformer inference, its Sohu chip can offer over 10x performance compared to NVIDIA's GPUs. The company plans to work with TSMC to manufacture Sohu on the 4nm node.
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