Ocean-Powered Data Center Startup Set to Double Valuation to $2 Billion

AI data centers need boatloads of power, a need that’s set off a flood of investment into startups harnessing nuclear or solar energy to run the servers. Now one startup is raising money to power AI from a different source: the ocean.

Panthalassa, a 10-year old startup making technology that aims to generate electricity from the movement of waves and use it to run graphics processing units, is raising $225 million at a nearly $2 billion valuation after the investment, according to two people with direct knowledge of the deal. The fundraise will double Panthalassa’s valuation from just three months ago, when it raised $140 million at a roughly $1 billion valuation after the investment.