Arcee AI crosses a $1bn valuation

Arcee AI said it had raised a Series B round crossing a $1bn valuation, led by Vista Equity Partners, Cambium Capital and Emergence Capital, with participation from AI10 Ventures, Hitachi, IAG, Microsoft’s M12, P7 and Wipro. The company did not disclose the amount raised.

Arcee builds open-weight models, including Trinity Large, a 400-billion-parameter sparse mixture-of-experts model with 13 billion active parameters per token. The company said it had built its entire 2025 model lineup, Trinity Large among them, for roughly $20 million — a capital-efficiency claim it made itself and did not have independently verified, offered as a contrast with the far larger training budgets reported by closed-model frontier labs. Chief executive Mark McQuade said “organisations should not have to choose between frontier model capabilities and technology control,” positioning the company against vendors that keep weights and training details closed.

Arcee said the funding would go toward developing further Trinity models, expanding work with the US Department of Energy and its national laboratories, and launching new open-model products aimed at customers wanting to customise and deploy models on their own infrastructure rather than depend on an API.