AI startups delivered another strong week of funding activity, with quantum computing making headlines alongside enterprise AI and healthcare applications. The week was highlighted by PsiQuantum’s historic $1 billion quantum computing round and Perplexity’s continued growth trajectory, demonstrating investor appetite for breakthrough technologies and proven AI applications.
PsiQuantum Raises $1 Billion at $7 Billion Valuation
Fund Raised: $1 billion
Investors: BlackRock (lead), Temasek, Baillie Gifford, NVentures (NVIDIA), Macquarie Capital, Qatar Investment Authority, Counterpoint Global (Morgan Stanley)
Palo Alto-based PsiQuantum announced on September 10th a historic $1 billion Series E round that valued the quantum computing company at $7 billion. Founded in 2016 by Jeremy O’Brien (CEO) and Pete Shadbolt (Chief Scientific Officer), both quantum physics professors, PsiQuantum is building the world’s first commercially useful, fault-tolerant quantum computers.
The company’s breakthrough approach uses photonic qubits integrated with existing semiconductor manufacturing at GlobalFoundries’ Fab 8 facility. PsiQuantum has developed Barium Titanate (BTO) optical switches—critical components for scaling quantum systems to the million-qubit level required for commercial applications. This funding will support construction of utility-scale quantum computing sites in Brisbane, Australia and Chicago, Illinois, with the first systems expected to be operational by 2027.
Perplexity AI Secures $200 Million at $20 Billion Valuation
Fund Raised: $200 million
Investors: Undisclosed lead investors
San Francisco-based Perplexity AI reportedly secured $200 million in fresh capital at a $20 billion valuation, bringing its total known funding to $1.5 billion. Founded in 2022 by Aravind Srinivas (CEO), the AI-powered search engine has differentiated itself through real-time information retrieval with source citations, positioning itself as a direct competitor to traditional search engines.
Perplexity serves over 100 million monthly users and has achieved significant enterprise traction with its Pro subscription service. The platform processes over 1 billion queries annually while maintaining partnerships with major publishers for real-time data access. Apple and Samsung are reportedly considering integrating Perplexity’s search technology into their hardware ecosystems, highlighting the platform’s growing strategic value.
Databricks Continues Mega-Round Momentum
Fund Raised: Series K (amount undisclosed, >$100 billion valuation)
Investors: Existing investors
San Francisco-based Databricks signed a term sheet for its Series K round in late August that extends into September, with the company valued at over $100 billion. Founded by Ali Ghodsi (CEO) and the creators of Apache Spark, Databricks has become the leading unified analytics platform serving 10,000+ organizations including 60% of Fortune 500 companies.
The company generates $2.4 billion in annual recurring revenue with 35% year-over-year growth, processing 12+ exabytes of data monthly. Databricks’ new Agent Bricks product and Lakebase operational database are driving significant enterprise adoption for AI-powered data applications. This funding will accelerate development of their AI strategy and support potential acquisitions in the rapidly evolving data infrastructure space.
Torus Secures $200 Million for Modular Power Plants
Fund Raised: $200 million
Investors: Magnetar Capital
Utah-based Torus announced a $200 million investment from Magnetar Capital for its modular power plants serving utilities, data centers, and AI infrastructure customers. As AI workloads drive unprecedented energy demands, Torus provides scalable power solutions designed specifically for high-performance computing environments.
The company is preparing to open GigaOne, a 540,000-square-foot manufacturing campus in Salt Lake City to meet growing demand from hyperscale data center operators. Torus’s modular approach reduces deployment timelines by 60% compared to traditional power infrastructure while improving energy efficiency for AI training and inference workloads.
Apex Achieves $1 Billion Valuation with $200 Million Round
Fund Raised: $200 million
Investors: Interlagos Capital (lead)
Los Angeles-based Apex, a manufacturer of satellite products, landed $200 million in Series D funding led by Interlagos Capital, achieving a $1 billion valuation. The company specializes in satellite buses and components for commercial and government customers, benefiting from the growing space economy and satellite constellation deployments.
Apex’s products power next-generation satellite networks that provide global internet connectivity and Earth observation capabilities increasingly important for AI applications requiring real-time global data. The funding will expand manufacturing capacity and accelerate development of advanced satellite platforms for mega-constellation projects.
Harbour Health Raises $130 Million for AI-Powered Healthcare
Fund Raised: $130 million
Investors: General Catalyst (co-lead), 8VC, Alta Partners
Healthcare services provider Harbour Health picked up $130 million in funding co-led by General Catalyst, 8VC, and Alta Partners. The company combines primary care services with AI-powered coverage optimization, using machine learning to improve patient outcomes while reducing healthcare costs.
Harbour Health’s platform analyzes patient data to predict health risks and recommend preventive interventions, resulting in 25% lower hospitalization rates compared to traditional primary care models. The funding will expand their provider network and enhance AI capabilities for population health management across multiple markets.
Other Notable Rounds
Mazlo emerged from stealth with a $3.5 million seed round for its AI-powered customer service platform, addressing the growing need for intelligent automation in customer support operations.
Foundation Capital closed its $600 million fund focused on AI investments, highlighting continued institutional appetite for artificial intelligence across multiple sectors and stages.
Several undisclosed AI infrastructure and enterprise software rounds were completed during the week, reflecting the sustained momentum in practical AI applications with measurable business impact.
International Spotlight
IQM Quantum Computers (Finland) completed a $320 million Series B round earlier in September, positioning Europe as a competitive force in quantum computing alongside U.S. companies like PsiQuantum.
Quantinuum (UK/US joint venture) raised $600 million at a $10 billion pre-money valuation, demonstrating global investor interest in quantum computing technologies across different technical approaches.
Important Takeaway
This week’s $1.7+ billion in funding across quantum computing, AI search, and enterprise applications demonstrates the evolution of AI investment from pure research to commercially viable solutions. PsiQuantum’s billion-dollar quantum round signals that investors view quantum computing as the next frontier for breakthrough AI capabilities, while Perplexity’s $20 billion valuation validates AI-native approaches to fundamental computing tasks like search. The combination of infrastructure investments (Torus, Apex) and application-layer innovations shows a maturing ecosystem ready for widespread enterprise adoption.
FAQs
PsiQuantum’s $1 billion Series E was the largest round, valuing the quantum computing company at $7 billion. This represents one of the largest private investments in quantum computing technology to date.
Quantum computers promise to solve computational problems that are impossible for classical computers, particularly in drug discovery, materials science, and optimization. As AI models become more complex, quantum computing could provide the breakthrough computational power needed for the next generation of AI capabilities.
Perplexity’s valuation reflects its position as a leading challenger to traditional search engines, with over 100 million monthly users and potential integration partnerships with Apple and Samsung. The company has successfully demonstrated that AI-native search can compete with established players.
Quantum computing led with PsiQuantum’s $1B round, followed by AI search (Perplexity $200M), data infrastructure (Databricks >$100B valuation), and supporting infrastructure including power systems and satellite technology.
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