HELSINKI — Verda secured $117 million in new funding to expand its GPU cloud services, the company announced on Tuesday. This capital injection aims to address the hardware shortages that currently impact AI product development cycles. By providing remote access to graphics processing units, the firm allows clients to bypass the high costs of purchasing and maintaining their own physical server hardware.
A primary driver for this investment is the $117 million requirement to build out new infrastructure for intensive computing tasks. The company stated that it will allocate these funds to add more servers in additional locations. This expansion addresses the bottleneck where waiting for hardware can delay product launches or slow down model training for engineers.
Verda confirmed that it intends to power these new facilities using renewable energy sources. Operating thousands of GPUs requires significant electricity for constant cooling and processing, which often exceeds the power needs of standard web-hosting operations. By utilizing renewable energy, the provider seeks to lower costs and offer more competitive pricing for customers running workloads that last for days or weeks at a time.
The company is also looking to expand its physical footprint beyond Finland to reduce latency for international clients. Locating computing resources closer to users is essential for real-time AI services where even a small delay in response time can hinder performance. While the firm has not yet disclosed the specific locations for this expansion, it confirmed the strategy is intended to place capacity closer to the end user.
Verda faces a crowded market for GPU access, but the company says its model offers businesses the flexibility to rent capacity rather than making long-term hardware commitments. The firm did not disclose the exact number of new servers it plans to purchase with the $117 million budget. Management confirmed that the funding provides a larger capital base to acquire equipment while competition for high-end processors remains intense throughout the industry.
