Andreessen Horowitz, General Catalyst Race to Secure the Chips Their Startups Need

AI Summary

Andreessen Horowitz and General Catalyst are seeking to secure AI compute for their portfolio startups as demand for servers and advanced chips rises. Andreessen Horowitz may expand its existing GPU cluster through backed data-center companies, while General Catalyst is building a data center of its own.

As startups scramble to get access to AI servers, more venture capital firms are finding ways to secure compute on their behalf. Andreessen Horowitz, which two years ago set up a cluster of 20,000 graphics processing units for its startups, is in talks to expand its offering, potentially via two data center companies it has backed, according to people familiar with its plans. Meanwhile, General Catalyst is building a data center to supply compute for its startups, said two other people. And several other VC funds have used brokers to find sought-after chips for their companies.