Crusoe Energy Raises $500 Million for AI Expansion Led by Peter Thiel’s Founders Fund
In a significant boost to its growth trajectory, Crusoe Energy, a leading data center startup focused on artificial intelligence (AI) infrastructure, has secured a hefty $500 million equity investment. Leading the charge is none other than Peter Thiel’s renowned venture capital firm, Founders Fund. This investment round catapults Crusoe’s valuation to an impressive $3 billion, marking a substantial increase from its valuation two years ago.
The news was first reported by the Financial Times, citing sources familiar with the deal. Crusoe Energy, founded by Chase Lochmiller and Cully Cavness in 2018, operates within the burgeoning ‘neocloud’ industry. This sector provides outsourced cloud computing services to tech companies, empowering them to build and deploy AI solutions more effectively. The neocloud industry has garnered immense attention from investors in Silicon Valley and Wall Street, fueled by the increasing demand for powerful AI chips manufactured by companies like NVIDIA Corp.
This strategic investment comes on the heels of Crusoe Energy’s recent $3.4 billion agreement with Blue Owl Capital. This deal will finance the construction of a new data center in Texas, which will be leased to Oracle Corp. Notably, Crusoe Energy embraces sustainability by leveraging waste natural gas from oilfields to power its data centers. This innovative approach helps reduce greenhouse gas emissions while powering AI and cloud computing.
Thiel’s Continued Interest in AI and Crypto
Peter Thiel, a prominent figure in the tech and investment world, has actively engaged with both the cryptocurrency and AI sectors. His Founders Fund has made significant investments in these areas, including a notable $200 million investment in Bitcoin and Ethereum in 2023. While Thiel has expressed skepticism about Bitcoin’s future growth, his continued investments in the crypto market demonstrate a renewed interest in token investments among institutional investors.
Crusoe Energy’s latest funding round underscores the immense potential of the AI infrastructure market. With the support of prominent investors like Peter Thiel, the company is well-positioned to capitalize on the growing demand for AI computing power and contribute to the advancement of AI technologies while maintaining a commitment to sustainable practices.
