Rivos, founded in 2021, has quickly emerged as a potential challenger to Nvidia in the AI hardware market. The startup has already secured over $250 million in funding from prominent backers, including Intel Capital, MediaTek, Dell Technologies Capital, and others. Now, the company is seeking an additional $400–$500 million in new capital, which could push its valuation beyond $2 billion. This aggressive fundraising target underscores Rivos’s ambition to secure a stronger foothold in the rapidly expanding AI chip sector.

The company’s core product is an AI-focused GPU that has reportedly completed its physical design phase with promising results. A key differentiator for Rivos lies in its proprietary software, which enables the translation of Nvidia’s CUDA code to run seamlessly on Rivos hardware. This compatibility lowers the barrier for enterprises considering a shift away from Nvidia’s ecosystem, reducing migration costs and easing integration challenges.

Rivos’s technology strategy centers on the use of RISC-V, an open-source processor architecture, to create energy-efficient chips optimized for data centers and large language models. By integrating high-performance RISC-V CPUs with AI accelerators in a unified memory architecture, the company aims to deliver both superior energy efficiency and flexibility over traditional GPU-only systems. This approach is designed to meet the growing demands of AI workloads while minimizing power consumption—a critical consideration for large-scale data operations.

Backing from Intel CEO Lip-Bu Tan provides further credibility. Tan, who also serves as chairman of Rivos through his investment firm Walden Catalyst, brings deep expertise in chip design and manufacturing, along with a strong network across the semiconductor industry. His involvement could help Rivos secure critical manufacturing partnerships, such as with TSMC, and navigate the challenges of scaling production.

With AI adoption accelerating across industries, Rivos is positioning itself as a credible alternative in a market long dominated by Nvidia. The company’s success will depend on delivering competitive real-world performance, securing supply chain stability, and meeting its planned deployment timelines, potentially as early as 2026. If it executes effectively, Rivos could reshape the competitive landscape of AI computing.