Cohere’s $7B valuation and new $100M funding round coincide with a partnership with AMD, bringing its Command AI models to Instinct GPUs. Image Source: ChatGPT-5
Cohere Hits $7B Valuation, Expands AMD Partnership in Enterprise AI
Key Takeaways: Cohere $7B Valuation and AMD Partnership
Cohere raised an additional $100 million, extending its August round and reaching a $7 billion valuation.
The August round totaled $500 million at a $6.8 billion valuation, showing steady investor demand.
Cohere’s Command models can now run on AMD Instinct GPUs, expanding beyond Nvidia GPUs.
AMD is both an investor and customer, integrating Cohere’s AI models internally.
New investors include Business Development Bank of Canada (BDC) and Nexxus Capital Management.
Cohere: $100M Raise Pushes Valuation to $7B
On Wednesday, Cohere announced it raised an additional $100 million, lifting its total valuation to $7 billion. The funding extends an oversubscribed $500 million round announced in August, which had valued the company at $6.8 billion.
Founded in 2019 by Aidan Gomez, co-author of the transformer paper that sparked the generative AI boom, Cohere has positioned itself as a leading enterprise AI model provider.
AMD Partnership: A Strategic Alternative to Nvidia
Alongside the funding news, Cohere unveiled a new partnership with AMD. The company’s Command-family AI models — including Command vision, translate, and reasoning models — will now run on AMD Instinct GPUs, a direct competitor to Nvidia GPUs.
In a notable twist, AMD will not only power Cohere’s technology but will also adopt Cohere’s AI models internally, making it both a partner and customer.
This stands in contrast to OpenAI, which recently secured up to a $100 billion investment from Nvidia, the market leader in GPUs. Cohere clarified it will continue supporting Nvidia GPUs rather than shifting exclusively to AMD hardware.
Enterprise AI Market: Aiming for AI Sovereignty
While Cohere’s $7 billion valuation reflects strong growth, the company remains dwarfed by its rivals. OpenAI was reportedly valued at $500 billion last month, while Anthropic reached $183 billion earlier this month.
Rather than competing directly at that scale, Cohere has doubled down on the enterprise market, emphasizing AI sovereignty — enabling organizations to maintain local control of their data and models instead of relying on foreign providers.
New investors in the latest $100 million raise include the Business Development Bank of Canada (BDC) and Nexxus Capital Management, known for its network in Singapore.
Q&A: Cohere $7B Valuation and AMD Partnership
Q: What is Cohere’s new valuation?
A: Cohere is now valued at $7 billion after raising an additional $100 million in funding.
Q: How does this round relate to Cohere’s previous funding?
A: It extends the $500 million round announced in August, which valued Cohere at $6.8 billion.
Q: What is Cohere’s partnership with AMD?
A: Cohere’s Command models now run on AMD Instinct GPUs, and AMD will use Cohere’s AI models internally.
Q: Will Cohere still support Nvidia GPUs?
A: Yes. Cohere confirmed it will continue supporting Nvidia GPUs and is not shifting exclusively to AMD hardware.
Q: Who are the new investors in this round?
A: The Business Development Bank of Canada (BDC) and Nexxus Capital Management joined the extension round.
Looking Ahead: Cohere’s Next Chapter in Enterprise AI
The latest funding and AMD partnership signal how Cohere plans to sharpen its focus in the enterprise AI market. By supporting both AMD and Nvidia GPUs, the company is positioning itself as a flexible provider that can adapt to enterprise infrastructure needs rather than tying its future to a single ecosystem.
As concerns about AI sovereignty grow worldwide, Cohere’s emphasis on local data control could become a key differentiator, especially for governments and enterprises wary of depending on foreign providers. This strategy may help Cohere carve out space against giants like OpenAI and Anthropic, whose valuations dwarf its own.
In the years ahead, Cohere’s challenge will be proving that sovereignty and scalability can coexist. If it succeeds, the company could transform from a fast follower into a central player in shaping how enterprises deploy AI securely and on their own terms.
Editor’s Note: This article was created by Alicia Shapiro, CMO of AiNews.com, with writing, image, and idea-generation support from ChatGPT, an AI assistant. However, the final perspective and editorial choices are solely Alicia Shapiro’s. Special thanks to ChatGPT for assistance with research and editorial support in crafting this article.