Upstage to receive investment from NVIDIA, set to secure funding in second Series C round [fn Market Watch]

[Financial News]  Upstage Co., Ltd., an artificial intelligence (AI) company, is expected to secure investment from global semiconductor company NVIDIA Corporation. If the investment goes through, NVIDIA will join Amazon and AMD as one of Upstage’s major investors, bringing more global big tech companies on board.
According to investment banking (IB) industry sources on the 10th, Upstage is expected to secure investment from NVIDIA in the second round of its ongoing Series C funding. Upstage announced on the 9th that NVIDIA planned to participate in the investment, but did not disclose the specific amount or terms.
Since its early days, Upstage has raised funds from domestic and international venture capital (VC) firms and strategic investors (SIs). The 2021 Series A round, which raised 31.6 billion won, drew participation from Company K Partners, SoftBank Ventures (now SBVA), Primer Sazze Partners, TBT, Premier Partners and StoneBridge Ventures, among others.
In the 2024 Series B round, which raised about 100 billion won, SK Networks, KT, Korea Development Bank (KDB), Shinhan Venture Investment, Hana Ventures, Mirae Asset Venture Investment and Industrial Bank of Korea (IBK), among others, joined as new investors. Existing investors also made follow-on investments.
In August last year, Upstage secured a 62 billion won Series B bridge investment led by KDB. Amazon and AMD participated as strategic investors, while InterVest, KB Securities, Primer Sazze Partners, Shinhan Venture Investment, Mirae Asset Venture Investment and Premier Partners, among others, also took part in the investment.
In April this year, Upstage completed the first round of its Series C, raising 180 billion won in an investment led by Primer Sazze Partners. Hyundai Motor and Kia, Axiom Asia and Woori Venture Partners Co., Ltd., among others, joined as new investors, while existing investors including Premier Partners, Shinhan Venture Investment, Mirae Asset Venture Investment, KB Securities and InterVest put in additional funds. At the time, Upstage was valued at 1 trillion won or more.
Upstage plans to use the Series C funds to enhance the performance of its in-house AI model, Solar, and attract key talent. It also plans to step up its expansion into overseas markets, including the United States and Japan.
An IB industry official said, “The successive investments by global big tech companies can be seen as reflecting strategic judgments not only about Upstage’s technological competitiveness but also about its potential for future business expansion,” adding, “Once the amount and terms of NVIDIA’s investment are finalized, they will also serve as an important benchmark for follow-on fundraising and company valuations.”


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