AI startup Clay raises $100M in funding led by Google’s CapitalG, doubles valuation to $3.1 billion

Clay’s rise in the AI sector has been fast — and investors are doubling down. The San Francisco-based startup has more than doubled its valuation to $3.1 billion after raising $100 million in Series C funding. The round was led by Google-parent Alphabet’s independent growth fund, CapitalG, signaling strong industry backing for Clay’s approach to AI-driven go-to-market tools.

Sequoia, Meritech Capital, and First Round Capital, all existing backers, joined the round. Clay said the money will go toward accelerating product development, aiming to sharpen its platform for enterprise clients.

“With $100M in new funding led by Alphabet’s CapitalG, we’re investing in our product and supporting our community of GTM engineers,” Clay said in a blog post.

From $1.5B to $3.1B: How Clay Became One of 2025’s Fastest-Rising AI Startups

Just three months ago, the company was valued at $1.5 billion through an employee tender offer — making this jump one of the biggest valuation climbs in the AI funding streak of 2025.

Founded in 2017, Clay offers an AI-powered platform that helps companies execute personalized outreach at scale, an increasingly sought-after capability for sales and marketing teams trying to cut through crowded markets. A go-to-market strategy, or GTM, outlines how a company plans to sell and deliver products or services to customers — and Clay bets that AI can make that process far more efficient.

Investor appetite for AI shows little sign of cooling. Funding into artificial intelligence companies has continued to surge as investors bet the technology can boost productivity and lower costs across industries. This momentum has helped overshadow the drag from shifting U.S. trade policy and geopolitical tensions, with dealmaking in the first seven months of the year reaching its highest point since the 2021 pandemic-era peak.

The past week underscored AI’s dominance in tech earnings, with Big Tech companies reporting stronger-than-expected results fueled by demand in internet search, digital advertising, and cloud services.

Clay isn’t the only AI company seeing a valuation spike. Just last week, AI fintech startup Ramp reported a 41% jump in value in just over a month after its recent $500M raise, adding to the list of fast-climbing AI players attracting deep-pocketed backers.