Crusoe Energy, a compute-focused energy optimization firm, is negotiating a $10 billion valuation in funding discussions.

Crusoe Energy Systems, an AI data center startup founded in 2018, is reportedly in talks to raise fresh capital at a valuation approaching $10 billion, according to Bloomberg. The company expects to raise around $1 billion through a mix of equity and debt, which would more than triple its valuation from the $2.8 billion level in December 2024, when it raised $600 million in a round led by Founders Fund. To date, Crusoe has secured $2.5 billion in funding from backers including Nvidia, Fidelity, Mubadala, Ribbit Capital, and Valor Equity Partners.

Crusoe's prominence in the AI infrastructure race is underscored by its role as lead developer of a $12 billion AI campus in Abilene, Texas, code-named Project Ludicrous, built for OpenAI and Oracle as part of the Stargate initiative unveiled by U.S. President Donald Trump in January this year. The report noted that the new fundraising round would underscore the scale of investment needed to support the rapid buildout of artificial intelligence infrastructure. The company's peers include CoreWeave, now valued at more than $44 billion after its recent IPO, and OpenAI, which has recently signaled plans to expand into computing services.

Last week, Crusoe announced the acquisition of Israeli startup Atero, a company specializing in GPU management and memory optimization for artificial intelligence workloads. The acquisition aims to strengthen Crusoe Cloud's managed AI services, improve GPU efficiency, and establish Crusoe's first Middle East office in Tel Aviv. By integrating Atero's technology into its platform, the company expects to deliver higher performance, faster scalability, and more energy-efficient infrastructure for AI developers and enterprises. This acquisition is positioned as part of Crusoe's strategy to enhance vertical integration in the AI cloud sector, where the company operates its own GPU clusters and infrastructure stack.

In June, Crusoe announced a strategic partnership with Polar to establish its first data center presence in mainland Europe, signing a contract for a 12 megawatt facility located in Norway, which will be powered entirely by 100 percent hydroelectric energy. The Norwegian data center, expected to start operations later this year, adds to Crusoe's European presence which includes a data center in Iceland, powered 100 percent by renewable geothermal and hydroelectric energy. Through these expansions—including the Atero acquisition—Crusoe now manages 3.4 gigawatts of AI data center capacity globally.