AI chip company Groq is in talks to raise $600 million in a new funding round that would see the company valued at around $6 billion.

The round is being led by venture capital firm Disruptive, which has committed $300m; around half the total funding Groq expects to raise, Bloomberg reported.

However, the report noted that talks were still ongoing and the final details could still change. Earlier this week, The Information separately reported Groq had shaved more than $1bn off its revenue projections for 2025.

Should the fundraising go ahead, it would follow a $640m round at a $2.8bn valuation that Groq closed in August 2024. That round was led by BlackRock and saw participation from Neuberger Berman, Type One Ventures, Cisco, KDDI, and Samsung Catalyst Fund.

Groq was co-founded in 2016 by CEO Jonathan Ross, who previously helped lead Google's Tensor Processing Unit development. The company provides dedicated chips and accelerators within its own servers and racks designed for artificial intelligence, machine learning, and high-performance computing.

In May of this year, the company announced that Saudi AI business Humain would offer access to Groq's LPU chips, allowing developers to run open models like Llama, Mixtral, and Whisper.

Groq first deployed a cluster in Saudi Arabia in December 2024, and this February announced a $1.5 billion deal to expand in the country with a Dammam data center.