Top Startup and Tech Funding News – September 10, 2025

It’s Wednesday, September 10, 2025, and we’re back with the top startup and tech funding news stories making waves today. From billion-dollar bets on quantum computing and AI-driven coding to healthtech, fintech, and deeptech breakthroughs, capital flowed across every stage and geography.

Today’s coverage spotlights both mega-rounds from late-stage giants and seed activity fueling scrappy up-and-comers. PsiQuantum stole headlines with a $1 billion Series E at a $7 billion valuation to push toward a million-qubit quantum computer, while Replit raised $250 million at a $3 billion valuation to expand its AI coding platform. Torus pulled in $200 million to scale its hybrid flywheel-battery energy systems, and fintech disruptor Aven added $110 million to advance its “machine banking” vision.

Funding Highlights

• PsiQuantum dominated the day with a $1 billion Series E to build the world’s first utility-scale quantum computer.

• Replit raised $250 million at a $3 billion valuation, underscoring investor appetite for AI-driven developer tools.

• Torus secured $200 million to accelerate the deployment of its flywheel-battery power plants.

• Aven landed $110 million Series E to expand its home-equity-backed credit card into broader banking.

• Harbor Health brought in $130 million to scale its integrated payvider model in Texas.

• proteanTecs closed $51 million Series D to enhance semiconductor health monitoring.

• Born raised $15 million Series A for social AI companions, while Blocks and Cassidy each pulled in $10 million to democratize no-code AI.

• Pest Share raised $28 million in seed funding to digitize pest control for rental housing.

• CuspAI landed $100 million Series A to accelerate AI-driven materials discovery.

Investor Activity

The day drew backing from some of the most influential names in venture capital and strategic corporate funds. BlackRock, Baillie Gifford, Temasek, and NVIDIA anchored PsiQuantum’s monumental raise. Prysm Capital, Google’s AI Futures Fund, and a16z doubled down on Replit. Khosla Ventures led Aven’s round, while Magnetar Capital backed Torus. Healthcare-focused investors like General Catalyst and 8VC fueled Harbor Health, and Samsung, Arm, and Siemens placed strategic bets on proteanTecs. Meanwhile, Monday.com made its first-ever startup investment with Blocks, signaling how corporates are playing across early and late stages alike.

The spread reflected a familiar barbell pattern: billion-dollar bets on capital-intensive frontier tech alongside healthy early-stage activity across fintech, healthtech, and developer tools. Together, today’s financings show investors’ ongoing conviction in bold founders rethinking infrastructure, software, and science.

Here’s the full breakdown. Until next week, have a great weekend.

AI Gaming Startup Born Raises $15M in Series A Funding to Foster Social AI Companions

Berlin-based Born has secured $15 million in Series A funding to expand its AI-driven social gaming platform that combats loneliness through shared virtual companions. Co-founded by Fabian Kamberi, the startup is known for Pengu, a Tamagotchi-like AI pet app where users co-parent a digital creature with friends or partners, emphasizing collaboration over one-on-one chatbot isolation.

Born (formerly Slay) has amassed over 15 million users for Pengu, and the fresh capital will fuel the launch of new “social” AI characters and products aimed at strengthening real-world bonds. The round’s prominent backers underscore investor enthusiasm for AI companions that entertain while encouraging positive human interaction.

Commenting on the funding, Fabian Kamberi, CEO and Co-Founder of Born, said: “The AI space has seen rapid advances in infrastructure and B2B, but little movement in delivering real value to consumers. We see a tremendous opportunity to change that—by creating products that entertain, engage, and help people socialize in meaningful ways. This funding allows us to push forward on building AI experiences that feel human, relevant, and deeply integrated into people’s digital lives. We intend to lead this new category by doing what we do best: delivering exciting and valuable consumer social experiences.”

Funding Details:

• Startup: Born (Berlin, Germany)

• Investors: Accel (lead); Tencent, Laton Ventures

• Amount Raised: $15 million

• Total Raised: $25 million

• Funding Stage: Series A

• Funding Date: September 10, 2025

CuspAI Lands $100M in Series A Funding for AI-Driven Materials Discovery

CuspAI, a Cambridge-based deeptech startup, raised $100 million in Series A funding co-led by NEA and Temasek to accelerate its AI “search engine” for discovering new materials. Founded in 2024 by chemist Dr. Chad Edwards and AI expert Prof. Max Welling, CuspAI uses generative AI and simulation to design novel materials (for semiconductors, energy, biotech, etc.) up to 10× faster than traditional R&D methods.

The hefty round, which attracted marquee investors from Silicon Valley, Europe, and Asia, will allow CuspAI to scale its operations in the U.S. and Asia and deliver next-generation materials to market faster. With industry partners like Hyundai, Meta, and Kemira already onboard, CuspAI’s platform is poised to tackle multi-billion-dollar challenges in sustainability and manufacturing by radically speeding up materials innovation.

Funding Details:

• Startup: CuspAI (Cambridge, UK)

• Investors: New Enterprise Associates (co-lead), Temasek (co-lead); Nvidia NVentures, Samsung Ventures, Hyundai Motor Group, Giant Ventures, LocalGlobe, Northzone; angels including Durk Kingma (OpenAI), Victor Riparbelli (Synthesia), Thomas Wolf (Hugging Face)

• Amount Raised: $100 million

• Total Raised: ~$130 million

• Funding Stage: Series A

• Funding Date: September 10, 2025

Harbor Health Secures $130M in Funding to Scale Integrated Care Platform

Austin-based Harbor Health, a tech-driven health insurance and clinic network startup, has raised $130 million in new funding to expand its integrated “payvider” model of care. Harbor Health offers employers and individuals health plans tightly bundled with primary and specialty care clinics, aiming to reduce costs and improve outcomes via coordinated, value-based care.

The company will use the influx of capital to broaden its clinic footprint across Texas and add specialty services (in areas like cardiology, dermatology, mental health, and more) to serve over 50,000 patients with comprehensive care. Led by a team of veteran healthcare innovators (including the founding dean of UT’s Dell Medical School), Harbor Health’s novel approach has attracted top healthcare investors committed to scaling this model of lower-cost, higher-quality care.

Funding Details:

• Startup: Harbor Health (Austin, TX, USA)

• Investors: General Catalyst, 8VC, Alta Partners (co-leads); DFO Management (Michael Dell family office), Health2047 Capital, Lemhi Ventures, Martin Ventures, Breyer Capital, individual healthcare leaders

• Amount Raised: $130 million

• Total Raised: ~$258 million

• Funding Stage: Series C

• Funding Date: September 9, 2025

Pest Share Snags $28M in Seed Funding to Modernize Pest Control for Rentals

Property-tech startup Pest Share has raised $28 million in seed funding to scale its software platform that streamlines pest control for rental properties. Based in Boise, Pest Share offers a modern, tech-enabled solution for property managers and tenants to report pest issues and connect with vetted exterminators, replacing the fragmented, ad-hoc approaches of the past.

Currently active in 48 states and serving 300,000 rental units, Pest Share will use the funding to enter new markets, enhance its product, and integrate with more property management systems. The startup’s mission is to save landlords and renters time, money, and headaches by automating the pest remediation process – a value proposition that resonated with investors looking to back innovation in the rental housing space.

Funding Details:

• Startup: Pest Share (Boise, ID, USA)

• Investors: Integrity Growth Partners (lead); with participation from existing investors

• Amount Raised: $28 million

• Total Raised: ~$33 million

• Funding Stage: Seed

• Funding Date: September 10, 2025

Blocks Raises $10M in Seed Funding to Bring No-Code AI Tools to Everyone

Israeli startup Blocks has emerged with a $10 million seed round led by Monday.com to democratize the creation of AI-powered work tools. Founded in early 2025 by former Monday.com executives Michal Lupu and Tal Haramati, Blocks provides a no-code platform for professionals to build custom AI applications and agents that can automate workplace tasks.

Its unique approach combines easy app-building with AI “coworker” agents that can handle tasks like data analysis, scheduling, and communications by integrating with systems such as LinkedIn, Gmail, and HubSpot. The funding – Monday.com’s first-ever investment in an external startup – will help Blocks grow its team and community marketplace as it enables non-programmers to create smart, automated workflows in minutes.

Funding Details:

• Startup: Blocks (Tel Aviv, Israel)

• Investors: Monday.com (lead); Qumra Capital, Entrée Capital

• Amount Raised: $10 million

• Total Raised: $10 million

• Funding Stage: Seed

• Funding Date: September 10, 2025

Cassidy Scores $10M in Series A Funding for No-Code AI Workflow Automation

New York-based Cassidy closed a $10 million Series A round to accelerate its mission of making context-aware AI automation accessible to every business team. Cassidy’s platform empowers non-technical users to design and deploy AI-driven workflows and agents that automate complex, nuanced processes – from triaging customer support tickets to updating CRM records from sales calls – without writing code.

Founded by CEO Justin Fineberg, the startup has seen rapid adoption as companies use its tools to capture institutional knowledge and turn it into custom automations. The new funding, led by HOF Capital with participation from several venture firms, will fuel product development and team growth as Cassidy helps enterprises boost productivity by putting AI automation directly in the hands of operational teams instead of IT departments.

Funding Details:

• Startup: Cassidy (New York, NY, USA)

• Investors: HOF Capital (lead); The General Partnership, Neo, Alumni Ventures, Quest Venture Partners, others

• Amount Raised: $10 million

• Total Raised: $14 million

• Funding Stage: Series A

• Funding Date: September 10, 2025

Aven Raises $110M in Series E Funding to Build “Machine Banking” Platform

Fintech startup Aven, which offers home equity-backed credit cards, has raised $110 million in Series E funding at a $2.2 billion valuation to expand its vision of “machine banking.” The San Francisco startup’s platform uses automation, AI, and patented underwriting technology to dramatically cut borrowing costs – its flagship card lets homeowners tap home equity with APRs about 50% lower than traditional credit cards.

With this new round led by Khosla Ventures, Aven plans to move beyond credit cards into full-service banking products (such as mortgage refinancing), all powered by its asset-backed, AI-driven approach. Founded in 2019 by CEO Sadi Khan, Aven has issued over $3 billion in credit lines to date and saved customers more than $200 million in interest. The fresh capital and an expanded advisory board (including former Treasury Secretary Larry Summers) position Aven to scale up as a disruptive force in consumer credit.

Funding Details:

• Startup: Aven (San Francisco, CA, USA)

• Investors: Khosla Ventures (lead); General Catalyst, GIC, Caffeinated Capital, Electric Capital, Founders Fund (existing)

• Amount Raised: $110 million

• Total Raised: Not disclosed

• Funding Stage: Series E

• Funding Date: September 10, 2025

proteanTecs Gets $51M in Series D Funding to Advance Chip Health Monitoring

proteanTecs, a deep analytics company from Israel, secured $51 million in Series D funding to expand its semiconductor health and performance monitoring solutions. Based in Haifa, proteanTecs has developed on-chip sensors and machine learning analytics that give electronics manufacturers and operators real-time “inside looks” at chip performance, predictive maintenance, and reliability issues from production through field operation.

The new round was led by IAG Capital Partners and included strategic investments from industry leaders Samsung, Arm, and Siemens, signaling confidence in proteanTecs’ technology for ensuring the reliability of advanced electronics (from data centers to autonomous cars). With offices already in the US and Asia, proteanTecs will use the funds to deepen its product capabilities and support its growing global customer base, aiming to reduce downtime and failures in complex electronic systems.

Funding Details:

• Startup: proteanTecs (Haifa, Israel)

• Investors: IAG Capital Partners (lead); Samsung Catalyst Fund, Arm, Siemens (strategic partners); Addition, Zeev Ventures, MediaTek, Intel Capital, Porsche SE, Koch Disruptive Technologies (existing)

• Amount Raised: $51 million

• Total Raised: Not disclosed

• Funding Stage: Series D

• Funding Date: September 10, 2025

Torus Snaps Up $200M in Funding to Scale Flywheel-Battery Power Systems

Utah-based Torus has raised $200 million in a growth funding round led by Magnetar Capital to accelerate the deployment of its cutting-edge energy platform. Torus builds small, modular hybrid power plants that combine the instantaneous responsiveness of mechanical flywheels with the endurance of battery storage, all managed by advanced software.

These units can be installed at the edge of the electric grid or on-site at data centers and industrial facilities, where they react to power fluctuations in milliseconds and link together into a distributed “grid operating system.” Torus, led by CEO Nate Walkingshaw, already has over 1 GW of its systems in operation this year and a major utility partnership with PacifiCorp for demand response.

With Magnetar’s investment, Torus will scale up manufacturing (including a new gigafactory in Salt Lake City) and rapidly roll out its flywheel-battery systems to help utilities and tech companies keep up with surging energy demands from AI, electrification, and the modern economy.

Funding Details:

• Startup: Torus (Salt Lake City, UT, USA)

• Investors: Magnetar Capital (lead)

• Amount Raised: $200 million

• Total Raised: Not disclosed

• Funding Stage: Growth

• Funding Date: September 10, 2025

PsiQuantum Secures $1B in Series E Funding to Build Million-Qubit Quantum Computer

PsiQuantum, the Palo Alto-based quantum computing startup, has raised a monumental $1 billion in Series E financing at a $7 billion valuation to continue its quest to build the world’s first fault-tolerant million-qubit quantum computer. Led by BlackRock with Temasek and Baillie Gifford, the round brings in a roster of new investors, including NVIDIA’s NVentures, Macquarie Capital, Ribbit Capital, and others – a strong validation of PsiQuantum’s photonic approach to quantum computing.

The company, founded by CEO Jeremy O’Brien, uses silicon photonics (manipulating light particles on chips) to create quantum processors that can be manufactured in existing semiconductor fabs. With the new funding, PsiQuantum will advance its quantum chip technology, construct major test facilities in the U.S. (Chicago) and Australia (Brisbane), and deepen its collaboration with NVIDIA to integrate classical and quantum computing workflows. PsiQuantum has partnered with GlobalFoundries for chip fabrication and aims to deliver a utility-scale quantum computer capable of solving problems far beyond the reach of today’s supercomputers.

Funding Details:

• Startup: PsiQuantum (Palo Alto, CA, USA)

• Investors: BlackRock (lead); Temasek, Baillie Gifford (co-leads); NVentures (NVIDIA), Macquarie, Ribbit Capital, Qatar Investment Authority, Morgan Stanley Counterpoint, SentinelOne Ventures; Blackbird, Third Point, T. Rowe Price (existing)

• Amount Raised: $1 billion

• Total Raised: ~$1.7 billion

• Funding Stage: Series E

• Funding Date: September 10, 2025

Replit Raises $250M in Funding at $3B Valuation to Expand AI Coding Platform

San Francisco-based Replit, an online coding platform augmented by AI, has raised $250 million in new funding that values the company at $3 billion (nearly triple its valuation from 2023). The round was led by growth equity firm Prysm Capital, with participation from Google’s AI-focused fund and Amex Ventures as strategic investors; existing backers Andreessen Horowitz and Coatue also doubled down. Replit’s browser-based development environment allows developers to write and deploy code collaboratively, and its Ghostwriter AI assists by generating and debugging code.

The company reports a surge in usage and revenue as “AI pair programmer” tools gain popularity. Replit just launched Agent 3, an AI agent that can autonomously test and fix code, underscoring the platform’s move toward more automated software development. With this large infusion of capital, Replit plans to accelerate product innovation and scale its cloud infrastructure as it becomes a central hub for the burgeoning AI-driven coding ecosystem.

Funding Details:

• Startup: Replit (San Francisco, CA, USA)

• Investors: Prysm Capital (lead); Google AI Futures Fund, Amex Ventures (strategic); Andreessen Horowitz (a16z), Coatue (existing)

• Amount Raised: $250 million

• Total Raised: ~$347 million

• Funding Stage: Series C

• Funding Date: September 10, 2025

Tech Funding Summary (September 10, 2025):