Modal raises $750M at a $15.75B valuation after passing $1B in annualized run rate
The AI inference infrastructure company's Series D was led by Accel. Its valuation has more than tripled since a $355M round in May.
Modal announced a $750M Series D on October 14 at a $15.75B post-money valuation. Accel led the round, Kleiner Perkins joined, and all existing investors took part, including Menlo Ventures, General Catalyst, Redpoint, Lux Capital, Amplify Partners and Bain Capital Ventures. The Next Web reports Modal raised $355M at a $4.65B valuation in May.
The numbers behind it
Modal says it "recently crossed $1B in annualized run rate," that usage "has tripled" since the May round, and that it has "grown more than 15x year-over-year." Its sandboxes product is a $300M run-rate business on its own, and Modal says it has spun up "close to 3 billion sandboxes." The New York company rents GPU capacity for running and training models, sourced from more than 20 cloud providers, and The Next Web reports it plans more products for training and fine-tuning.
Why it matters
A $300M business in sandboxes shows how much of AI spending now goes to running agents' code, not just to model tokens. If your teams run agents, that execution cost belongs in the same ledger as model spend; otherwise the cost per task looks cheaper than it is.