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Andreessen Horowitz · Goldman Sachs · Nvidia ·

Startup bets that investors want to trade compute like a commodity

2 min read

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Ornn, an Andreessen Horowitz-backed startup, raised a $33 million seed round to build a marketplace for trading the computing power that underpins today's AI boom, similar to what exists for oil traders.

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Summary

Investors increasingly want to trade compute like a commodity, betting it could make the historically expensive AI buildout more sustainable and efficient. Commodity markets let companies use futures contracts to lock in prices for volatile raw materials. Think airlines locking in jet fuel prices or manufacturers hedging metals prices, which helps them reduce the risk of price fluctuations. But AI companies don't have an equivalent market for compute, a problem the 20-something founders of Ornn and a growing number of exchanges are trying to solve.

Read full article at Axios →

#Andreessen Horowitz #Goldman Sachs #Nvidia