Andromeda AI Inc., a startup offering on-demand access to artificial intelligence computing power, has raised new funding at a $1.5 billion valuation. The investment comes from Paradigm, a crypto-focused venture firm that has now invested $60 million total in the company.
The San Francisco-based firm connects AI startups with underutilized GPUs from data centers, cloud providers, and cryptocurrency mining operations. Its platform allows customers to rent high-performance clusters without long-term contracts-critical for companies training small language models over short periods.
Andromeda vets each provider’s hardware for performance, security, and reliability, including storage and networking components. It consolidates billing across multiple vendors into a single invoice and offers real-time pricing insights through its proprietary Andromeda Pricing Index.
The company manages over 1,000 GPU transactions annually and serves more than 100 infrastructure providers. Revenue has doubled year-over-year, reaching a $100 million annual run-rate, with profitability maintained since launch.
New funds will expand its customer base, which includes major AI labs spending up to $500 million yearly on compute infrastructure.