Modal vs OVHcloud

Modal Hits $1B ARR, Raises $750M Series D at $15.75B Valuation

Modal, an AI infrastructure startup, announced it has crossed $1 billion in annualized run rate and raised a $750 million Series D round at a $15.75 billion valuation, led by Accel. The company's usage has tripled since its Series C and grown more than 15x year-over-year. Modal's Sandboxes product, launched in 2023 in response to developers using LLMs to generate code, has become a $300 million run rate product on its own, with nearly 3 billion sandboxes spun up and scaling to a million concurrent. The funding round marks Modal's transition from an infra unicorn to an infra decacorn, positioning it as a key player in the AI infrastructure space.

• Modal raised a $750M Series D at a $15.75B valuation, led by Accel.
• Modal crossed $1B in annualized run rate.
• Usage has tripled since Series C and grown over 15x year-over-year.

Runtime recap: the full keynote, VM Sandboxes, Modal Clusters, and more.

Modal announces a runtime product update with VM Sandboxes and Modal Clusters, as highlighted in a blog post.

Modal Labs closing in on $750M round at $15.75B valuation

AI inference infrastructure provider Modal Labs is nearing a $750 million funding round led by Accel at a $15.75 billion valuation, according to a source. This would more than triple its valuation from $4.65 billion in May. The round comes amid surging demand for inference services, with other startups like Baseten, Fireworks, and Fal also raising at higher valuations. Modal Labs, founded in 2021 by Erik Bernhardsson and Akshat Bubna, provides infrastructure for training and running AI models without managing servers. The company has surpassed $300 million in annualized revenue as of May. The funding talks follow a security incident in July where a customer's data was compromised, but Modal's platform was not breached.

• Modal Labs is nearing a $750 million funding round led by Accel at a $15.75 billion valuation.
• The round would more than triple Modal Labs' valuation from $4.65 billion in May.
• Modal Labs has surpassed $300 million in annualized revenue as of May.

Adtech AI Infrastructure Costs Challenge Profitability

This article explores the financial and operational challenges that AI adoption brings to adtech infrastructure. It argues that as AI workloads move from experimentation to production, the associated compute, storage, and network costs become significant and can erode product margins. The piece emphasizes the need for adtech companies to optimize infrastructure economics, match resources to workloads, and consider data residency requirements. It highlights the tension between model sophistication and real-time performance, and the importance of architectural flexibility. The author, Jeffrey Gregor from OVHcloud, positions infrastructure strategy as a key competitive differentiator in the next phase of adtech, where the ability to run AI efficiently and economically at scale matters more than access to AI itself.

• IDC predicts that by 2030, autonomous AI agents will manage a significant share of enterprise advertising operations.
• The article is authored by Jeffrey Gregor, General Manager at OVHcloud US.
• OVHcloud is a global cloud provider and subsidiary of OVH Group SAS.

Import Leased /24 into OVHcloud via BYOIP

A technical how-to explaining how to import a leased IPv4 /24 block into OVHcloud using BYOIP (Bring Your Own IP) to avoid OVHcloud's per-IP rental fee. The author compares OVHcloud's $2.39/month per IP charge (about $612/month for a /24) with leasing a clean /24 (cited from IPbnb at ~ $79/month) and describes the requirements (supported RIRs, prefix size, clean/unannounced status, WHOIS allocation), the setup steps (publish a route object with OVH's ASN, prove control via a token in the inetnum WHOIS record, order in OVH Control Panel, assign to service to announce), and operational gotchas (region selection, WHOIS/rDNS delegation, withdraw previous announcements, anti-DDoS included). The post highlights that leased blocks can be used with BYOIP if proper authorization and routing/ROA objects are in place.

• OVHcloud charges $2.39 per additional IP per month, which totals about $612/month for a /24 (256 addresses × $2.39).
• BYOIP (Bring Your Own IP) lets OVHcloud announce IP space you control so OVH does not bill per-IP rental for imported space.
• Supported RIRs for OVHcloud BYOIP are ARIN, RIPE, and APNIC; minimum block size is /24 and maximum is /19 (delivered as /24s).