AI infrastructure startup Nexthop AI has raised a significant $110 million funding round led by Lightspeed Venture Partners, signaling growing demand for custom-built networking solutions tailored for the needs of hyperscalers.
The round saw strong backing from other top-tier investors, including Kleiner Perkins, WestBridge Capital, Battery Ventures, and Emergent Ventures. This latest funding will help Nexthop accelerate its mission to provide power-efficient, high-performance networking systems that cater to the exploding infrastructure needs of large-scale AI platforms.
Building Smarter Networks for Hyperscalers
Nexthop AI specializes in developing custom networking hardware and AI-powered operating systems specifically designed for hyperscale cloud providers. By tailoring both the hardware and software stack to each client’s unique requirements, the company helps hyperscalers optimize for speed, power efficiency, and cost.
“Hyperscalers need the ecosystem to innovate with them to accelerate their infrastructure deployments,” said CEO Anshul Sadana. “Nexthop AI acts as a force-multiplier, working side-by-side with cloud engineering teams. This collaborative model helps them build the most cost-effective and energy-efficient AI solutions possible.”
With AI workloads pushing existing infrastructure to its limits, companies like Nexthop are emerging as critical partners for cloud providers scaling up their compute environments.
Lightspeed Doubles Down on AI and Infrastructure
The Nexthop deal is just one of several major moves Lightspeed Venture Partners has made in recent weeks, as the firm continues its aggressive push into AI infrastructure and deep tech.
In February, Lightspeed co-led a $110 million Series B for satellite platform K2 Space, alongside Altimeter Capital. The VC heavyweight also joined Saronic’s massive $600 million Series C for autonomous marine vessels, and participated in Abridge’s $250 million round, backing AI-powered medical documentation tools. It also took part in Semgrep’s $100 million Series D, focused on secure code deployment.
This month, Lightspeed made headlines again by leading Anthropic’s enormous $3.5 billion round, which pushed the AI startup’s valuation to a staggering $61.5 billion. The firm also co-led Reflection.AI’s $105 million Series A, backing the company’s ambition to create “superintelligence”—AI capable of performing most computer-based tasks.
Nexthop’s Big Moment
With $110 million in fresh capital and a roster of heavyweight investors, Nexthop AI is positioned to become a key player in the next-gen networking space. As hyperscalers race to deploy larger and more powerful AI infrastructure, startups like Nexthop that deliver bespoke, AI-optimized networking solutions will likely see a surge in demand.
The latest round brings more than just funding—it validates Nexthop’s disruptive model of working as an extension of cloud engineering teams rather than just a vendor.
