AI hardware startup Nominal triples valuation to $3B in 8 months

Nominal, a four-year-old, Austin-based startup that offers an AI platform purpose-built for engineering and testing complex hardware, like aircraft, nuclear reactors, and smart factories, has raised another big round of financing that triples its valuation. On Monday, it announced a $240 million Series C at a $3 billion valuation led by Lightspeed Venture Partners and co-led by Insight Partners.

This follows the company's announcement in March of a $155 million Series B extension at a $1 billion valuation, led by Trae Stephens at Founders Fund. That round was a “preemptive” deal — meaning an offer initiated by the investor, not the startup. Other investors in the company include Sequoia, General Catalyst, and Lux Capital.

Nominal says that it has 80 commercial and government organizations as customers. One of its key customers is Anduril, the defense company co-founded by Stephens. Nominal also won a government contract in October when the Air Force selected it for a $71.2 million Strategic Funding Increase (STRATFI) investment, which is a program that requires matching funds from outside the Air Force.

Nominal CEO and co-founder Cameron McCord (pictured) is a former U.S. Navy submarine officer and an Anduril alum.