Sequoia Capital-backed chip startup Nuvacore is seeking hundreds of millions of dollars in new financing at a valuation of about $2.5 billion, according to Reuters, citing people familiar with the matter. According to ChainCatcher, the company was founded just six months ago and has not yet launched a product.

Nuvacore previously completed a seed round led by Sequoia Capital and plans to develop a new central processing unit for data centers. The report said investor interest in data center CPUs has increased as AI applications drive higher demand for computing power, with CPUs used to coordinate AI chip tasks and run autonomous AI software agents optimized for common data center and AI infrastructure workloads.