Top Startup and Tech Funding News – January 6, 2025

It’s Tuesday, January 6, 2026, and we’re back with today’s top startup and tech funding news spanning foundational AI, quantum computing, clean energy infrastructure, and govtech modernization. From Musk’s record-setting AI raise to new bets on micro nuclear reactors and satellite radar imaging, today’s deals showcase bold capital commitments to high-impact, systems-defining technologies.

xAI led the day with a $20 billion Series E round—one of the largest in tech history—to accelerate development of its next-generation AI models and infrastructure. LMArena followed with $150 million to scale its crowdsourced model evaluation platform, now a critical benchmarking layer in the generative AI stack. In the deep-tech space, Photonic and Valar Atomics each secured $130 million to advance scalable quantum computers and nuclear reactors for energy-intensive applications such as AI and defense.

Today’s funding wave highlights a sharpening investor focus on core infrastructure for the AI age—from silicon and power to regulation-ready platforms underpinning mobility, finance, and healthcare. As capital flows deeper into systems that drive national and industrial resilience, 2026 is shaping up to be a defining year for hard tech innovation.

Tech Funding News

Funding Highlights

• xAI raised $20B Series E to scale its foundational AI platform.
• LMArena secured $150M Series A to expand crowdsourced AI benchmarking.
• Photonic closed $130M to build distributed quantum computing hardware.
• Valar Atomics raised $130M to develop modular nuclear reactors for AI data centers.
• CHAMP Titles landed $55M to digitize vehicle title and registration systems.
• Biobeat raised $50M Series B for cuffless blood pressure monitoring.
• Array Labs secured $20M Series A to deploy radar imaging satellites.
• Qualinx raised €20M to mass-produce ultra-low-power GNSS chips.
• Even Healthcare raised $20M to expand its full-stack hospital model in India.
• Pluto Financial raised $8.6M to offer liquidity against private equity holdings.

Investor Activity

Today’s capital deployments drew leading venture firms, sovereign wealth funds, and strategic investors across AI, defense, and healthcare. As the year accelerates, investors are doubling down on startups building foundational infrastructure—from core AI systems and quantum platforms to physical assets such as hospitals, satellites, and nuclear power plants.

Here’s the full breakdown of January 6’s most significant startup and tech fundings.

xAI Raises $20B in Series E Funding to Scale Next-Gen AI Model Development

Elon Musk’s artificial intelligence venture xAI has secured a massive $20 billion Series E funding round, far exceeding its initial $ 15 billion target. This upsized funding — one of the largest AI financings on record — gives xAI an enormous war chest to train advanced AI models and build the computing infrastructure needed to compete with leaders such as OpenAI and Google. The round drew participation from top institutional investors, including Valor Equity Partners, StepStone Group, Fidelity, and Qatar Investment Authority, with strategic backing from Nvidia and Cisco to bolster xAI’s chip supply and networking capabilities.

xAI’s flagship chatbot Grok already serves hundreds of millions of users via Musk’s X platform, and this new capital will fuel development of its next-generation model (dubbed Grok 5) while expanding data centers to close the gap with ChatGPT and other rivals. Despite concerns of an AI investment bubble, xAI’s record-setting raise underscores unabated investor appetite for foundational AI platforms. Musk’s bold vision – building a truth-seeking AI and challenging incumbents – now comes backed by an unprecedented funding round, positioning xAI to aggressively accelerate research, deployment, and talent hiring in the race for AI supremacy.

• Startup: xAI (Artificial intelligence research, Palo Alto, CA)

• Investors: Valor Equity Partners; StepStone Group; Fidelity; Qatar Investment Authority; Strategic: Nvidia, Cisco

• Amount Raised: $20 billion

• Total Raised: $20 billion (Series E)

• Funding Stage: Series E

• Funding Date: January 6, 2026

LMArena Raises $150M in Funding to Scale Crowdsourced AI Model Evaluations

LMArena, a fast-growing AI startup born from a UC Berkeley research project, has raised $150 million in new funding at a $1.7B valuation to expand its platform for benchmarking artificial intelligence models. Only four months after launching its first commercial product, LMArena’s valuation has tripled – reflecting its rapid emergence as a go-to resource for comparing large language models (LLMs). The Series A round was co-led by Felicis Ventures and the University of California’s UC Investments, with heavyweights such as Andreessen Horowitz, Lightspeed, Kleiner Perkins, and The House Fund participating.

LMArena is best known for its crowd-driven leaderboards where users pit AI models (from ChatGPT to Google’s Gemini and Musk’s Grok) against each other and vote on the best responses. The resulting data powers unbiased rankings across tasks like coding, writing, and image generation – invaluable feedback as AI labs race to improve their systems. With 5+ million monthly users generating tens of millions of model comparisons, LMArena has quickly achieved an annual revenue run-rate of $30M by selling evaluation-as-a-service to AI developers and enterprises.

The new funding will help the startup scale its infrastructure and team to meet surging demand for transparent AI benchmarking. As generative AI proliferates, LMArena’s community-driven approach provides a unique measure of real-world model performance – a critical service now supercharged by this substantial capital infusion.

• Startup: LMArena (AI model evaluation platform, Berkeley, CA)

• Investors: Felicis Ventures (co-lead); UC Investments (co-lead); Andreessen Horowitz; Kleiner Perkins; Lightspeed; The House Fund; others

• Amount Raised: $150 million

• Total Raised: ~$250 million

• Funding Stage: Series A

• Funding Date: January 6, 2026

Photonic Secures $130M to Advance Distributed Quantum Computing

Canadian quantum computing startup Photonic Inc. has raised C$180 million (US$130M) in fresh funding to accelerate development of its networked quantum computers. The new capital, a first close of Photonic’s latest round, was led by deep-tech investor Planet First Partners with participation from major Canadian institutions RBC (Royal Bank of Canada) and TELUS Ventures, alongside returning backers like BCI and Microsoft’s venture fund.

The raise brings Photonic’s total financing to about C$375M (US$271M). Founded in Vancouver, Photonic is pioneering a “distributed” quantum architecture that links many smaller quantum processors via light – an approach it calls Entanglement First™. By using silicon spin qubits that are natively connected with photonic links, Photonic aims to build scalable, fault-tolerant quantum systems that can be deployed across conventional data centers and telecom networks.

The company’s unique design promises to overcome hardware scaling limits by networking quantum chips, enabling more powerful calculations without a single monolithic processor. Photonic’s leadership (CEO Paul Terry) says the funds will go toward advancing its next-generation quantum machines toward commercial readiness, expanding its 150-person team, and deepening partnerships in key sectors such as materials science, drug discovery, and climate modeling. With quantum computing poised to unlock breakthroughs in clean energy and medicine, Photonic’s hefty round – one of the largest in the quantum industry – signals strong investor confidence in its vision for a globally connected quantum cloud.

• Startup: Photonic Inc. (Distributed quantum computing, Vancouver, Canada)

• Investors: Planet First Partners (lead); Royal Bank of Canada; TELUS Ventures; BCI; Microsoft’s M12; others

• Amount Raised: C$180 million (US$130 million)

• Total Raised: C$375 million (US$271 million)

• Funding Stage: Series B / Growth round

• Funding Date: January 6, 2026

Valar Atomics Raises $130M in Funding to Build Mini Nuclear Reactors for Data Centers

Valar Atomics, a Hawthorne, CA-based nuclear energy startup, has closed a $130 million funding round to accelerate its ambitious plan to construct micro nuclear fission reactors at scale. High-profile tech investors are betting on Valar’s vision: the round was led by Snowpoint Ventures (run by ex-Palantir executive Doug Philippone), with participation from defense-focused backers and notable angels such as Palmer Luckey (founder of Anduril Industries) and former Lockheed Martin directors. The financing will support Valar’s efforts to design and mass-produce small modular reactors that can be clustered at “giga-site” installations to provide reliable, carbon-free power for energy-hungry facilities such as AI supercomputing centers, factories, and military bases.

The startup has already begun construction of its prototype reactor in Utah and aims to demonstrate a working 100-kilowatt thermal output by mid-year. Valar’s reactor technology leverages advanced fuels (TRISO particles) and high-temperature operation (800°C) to achieve a compact, self-sustaining reaction suitable for decentralized power generation. With the data center boom driving electricity demand to new highs, Valar is positioning its reactors to power AI infrastructure off-grid with zero emissions.

The fresh funding (which includes a small venture debt portion) will propel the company through crucial testing and licensing milestones on the path to commercialization. If successful, Valar Atomics could revolutionize clean energy provision by bringing Silicon Valley’s rapid innovation ethos to the nuclear sector – a prospect evidently enticing enough to attract $130M despite the lengthy timelines and regulatory hurdles in atomic tech.

• Startup: Valar Atomics (Micro nuclear reactor developer, Hawthorne, CA)

• Investors: Snowpoint Ventures (lead); Day One Ventures; Dream Ventures; individual investors, including Palmer Luckey and John Donovan; others

• Amount Raised: $130 million

• Total Raised: $130 million

• Funding Stage: Series A

• Funding Date: January 6, 2026

CHAMP Titles Raises $55M in Funding to Digitize Vehicle Titling and Registration

Cleveland-based govtech startup CHAMP Titles has raised $55 million in new funding to modernize the way governments and industries manage vehicle titles and registrations. CHAMP (Comprehensive Hybrid Agile Modernization Platform) provides digital solutions for motor vehicle agencies (MVAs), replacing antiquated paper-based systems with a secure, blockchain-based platform. The growth financing was co-led by W. R. Berkley Corporation (a Fortune 500 insurance firm), Point72 Ventures (the VC arm of Steve Cohen’s Point72 asset management), and ORIX USA, signaling strong interest from both strategic and financial investors.

The fresh capital infusion brings CHAMP’s total funding to over $100M. Led by CEO Shane Bigelow, CHAMP has developed a patented software suite that helps state DMVs and their industry partners (dealerships, lenders, insurance carriers, fleet operators, etc.) transition to digital titles, electronic liens, and online registrations. By moving vehicle ownership records to a secure digital ledger, CHAMP’s system significantly accelerates title transfers (from weeks to minutes), reduces fraud and errors, and integrates with driver licensing and auto insurance databases.

Over 35 million Americans now have access to CHAMP-powered digital title services through state partnerships, and tens of millions of transactions have been processed on its platform to date. With this new funding, CHAMP Titles plans to accelerate its rollout into additional states and broaden its product suite, aiming to become the standard backbone for electronic vehicle titling nationwide. The success of CHAMP’s solutions highlights a growing trend: legacy government processes are being upgraded with high-tech solutions, improving efficiency for businesses and consumers alike.

• Startup: CHAMP Titles (Digital DMV systems, Cleveland, OH)

• Investors: W. R. Berkley (lead); Point72 Ventures (lead); ORIX USA (lead); existing investors

• Amount Raised: $55 million

• Total Raised: ~$105 million

• Funding Stage: Growth round

• Funding Date: January 2, 2026

Biobeat Closes $50M Series B Funding for Cuffless Blood-Pressure Monitoring

Israeli healthtech startup Biobeat has closed a $50 million Series B round to accelerate global commercialization of its innovative blood-pressure monitoring devices. Biobeat, based in Petah Tikva, Israel, with U.S. operations in Florida, has developed an FDA-cleared 24-hour ambulatory blood pressure monitor in the form of a discreet, disposable patch – eliminating the need for bulky cuffs. The Series B was led by major healthcare investors Ally Bridge Group, OrbiMed Advisors, and Elevage Medical. The funding will help Biobeat scale sales of its wearable sensor in the U.S. and other markets, where hypertension affects hundreds of millions of people but traditional monitoring is inconvenient and underutilized.

Biobeat’s postage-stamp-sized patch continuously measures blood pressure and other vital signs as patients go about their daily lives. Automatically uploads a full report to physicians via the cloud. By enabling comfortable, around-the-clock monitoring, the technology can improve the diagnosis and management of hypertension and other chronic conditions. Led by Executive Chairman Raymond Cohen and CEO Arik Ben Ishay, Biobeat has already secured FDA clearance for its device and is tapping into growing demand for remote patient monitoring solutions.

The company will use the new capital to expand its U.S. operations and pursue broader regulatory approvals. With prominent board members from Ally Bridge and OrbiMed now on board, Biobeat is poised to bring its cuff-free monitoring platform to hospitals and clinics worldwide – a timely advance as healthcare shifts toward patient-friendly, tech-enabled care.

• Startup: Biobeat Technologies (Wearable medical monitoring, Petah Tikva, Israel & Boca Raton, FL)

• Investors: Ally Bridge Group (lead); OrbiMed Advisors (lead); Elevage Medical; strategic health investor

• Amount Raised: $50 million

• Total Raised: Not disclosed (Series B)

• Funding Stage: Series B

• Funding Date: January 3, 2026

Array Labs Secures $20M Series A to Launch Low-Cost Radar Imaging Satellites

Array Labs, a Silicon Valley space startup building radar imaging satellites, has raised $20 million in Series A funding to accelerate its push toward affordable, high-power orbital radar systems. The Palo Alto-based company’s technology can capture detailed 3D imagery of Earth through clouds and at night, using advanced radar payloads that are vastly cheaper and more powerful than legacy systems. This new round – led by Catapult Ventures with participation from Washington Harbour Partners, Kompas VC, Y Combinator, and others – brings Array’s total funding to $35M since its Y Combinator graduation.

Founded by CEO Andrew Peterson, Array Labs has developed a modular radar instrument that can be mass-manufactured using techniques from the consumer electronics industry, reducing unit costs to a fraction of those of traditional military-grade radar satellites. The company plans to offer three product lines: standalone radar payloads for satellite manufacturers, fully integrated satellites or clusters for governments and enterprises that need dedicated surveillance capability, and a proprietary data service providing 3D maps and analytics from Array’s own constellation.

With this financing, Array Labs will scale up production and move closer to launching its first cluster of radar satellites. Notably, the startup has already secured significant interest from U.S. defense agencies – it reports nine-figure contracts and multiple government development awards – underscoring demand for improved imaging as geopolitical and climate monitoring needs grow. By making high-resolution radar imagery far more accessible, Array Labs is positioned to disrupt an earth observation market long dominated by costly, bespoke spacecraft.

• Startup: Array Labs (Space-based radar imaging, Palo Alto, CA)

• Investors: Catapult Ventures (lead); Washington Harbour Partners; Kompas VC; Y Combinator; Maiora Capital; Aera VC; Animal Capital; Cultivation Capital; others

• Amount Raised: $20 million

• Total Raised: $35 million

• Funding Stage: Series A

• Funding Date: January 6, 2026

Qualinx Raises €20M to Scale Ultra-Low-Power IoT Chips

Dutch semiconductor startup Qualinx has raised €20 million in fresh funding to ramp up production of its ultra-low-power communication chips for the Internet of Things. Based in Delft, Netherlands, Qualinx designs GNSS (global navigation satellite system) receivers and other wireless chips that consume a fraction of the power of traditional solutions – ideal for battery-powered devices like wearables, asset trackers, and IoT sensors.

The investment round was led by the Dutch growth fund Invest-NL, with support from existing backers FORWARD.one, InnovationQuarter Capital, and Waterman Ventures. It brings Qualinx’s total funding to date to approximately €40M. The startup is a spin-off from TU Delft and is led by CEO Tom Trill. Its breakthrough is a patented Digital RF technology that shifts much of a radio chip’s analog circuitry into the digital domain, dramatically reducing power draw and enabling tiny chips that can be reconfigured via software. Qualinx’s flagship product, the QLX3Gx GNSS chip, is capable of satellite positioning with extremely low energy usage – a key advantage for IoT devices that need multi-year battery life.

With its GNSS chip now market-ready and manufacturing underway at GlobalFoundries in Germany, Qualinx will use the new capital to scale up mass production and meet growing demand from global electronics makers. The company also has eyes on expanding into other radio-frequency markets (like Bluetooth or 5G IoT modules) where its digital RF approach can extend battery life. As the IoT ecosystem seeks ever-smaller and more efficient hardware, Qualinx’s successful funding round underscores investor confidence in its solution to one of tech’s persistent challenges: power consumption.

• Startup: Qualinx (Low-power semiconductor chips, Delft, Netherlands)

• Investors: Invest-NL (lead); FORWARD.one; InnovationQuarter; Waterman Ventures

• Amount Raised: €20 million (approx. $22 million)

• Total Raised: €40 million

• Funding Stage: Venture round (Pre-Series B)

• Funding Date: January 6, 2026

Even Healthcare raises $20M to Expand Tech-Enabled Hospitals in India

Bengaluru-based Even Healthcare has raised $20 million in new funding to grow its technology-driven managed care platform and hospital network in India. Even operates on a unique model: it started as a digital health membership service and has recently opened its own brick-and-mortar hospital to provide seamless, quality care for members under a fixed subscription.

The fresh round, backed by prominent investors Lachy Groom and Alpha Wave Global, doubles Even’s valuation and brings its total funding to about $70M. The company achieved a significant milestone by reaching operational break-even at its first Even Hospital in Bangalore, which opened mid-2025 – an early validation of its vertically integrated approach. With the new funding, Even plans to expand its chain of smart hospitals in major Indian cities and further develop its AI-powered primary care and telehealth tools.

Led by CEO Matilde Giglio, Even Healthcare combines a 24/7 virtual care app (for consultations, diagnostics, and wellness coaching) with a physical hospital exclusively for Even members, ensuring controlled costs and high-quality outcomes. This end-to-end model, akin to a modern HMO, aims to eliminate the fragmentation and unexpected bills every day in Indian private healthcare. Investors are betting that Even can scale this “full stack” healthcare delivery – using technology to integrate outpatient, diagnostic, and inpatient services – and in doing so, set a new standard for affordable, preventative care in emerging markets. The $20M raise will fuel hiring of medical staff, launch of new facilities, and continued development of Even’s health-tech platform as the startup seeks to transform healthcare for India’s young, digitally savvy population.

• Startup: Even Healthcare (Tech-enabled healthcare provider, Bengaluru, India)

• Investors: Lachy Groom; Alpha Wave Global; Sharrp Ventures; others

• Amount Raised: $20 million

• Total Raised: ~$70 million

• Funding Stage: Series A extension

• Funding Date: January 6, 2026

Pluto Financial Raises $8.6M to Unlock Liquidity for Private Equity Investors

Pluto Financial has raised $8.6 million in seed funding to scale its AI-powered lending platform that helps investors borrow against illiquid private equity holdings. The New York-based fintech aims to solve a growing pain point for wealth managers and accredited investors – the inability to easily tap the value of their stakes in private equity funds before those funds pay out. Pluto’s platform uses advanced risk modeling and data integrations to offer “portfolio credit lines” against private-market assets, providing liquidity in as little as one day, compared with the months-long, paperwork-heavy process of traditional secondary sales or loans.

The seed round was led by fintech-focused Motive Ventures, with participation from major financial players including Portage, Apollo Global Management, Hamilton Lane, Tectonic Ventures, and Broadhaven. Alongside the equity raise, Pluto has also secured several hundred million dollars in debt financing capacity from institutional partners to issue loans. Led by CEO and co-founder Neel Ganu, Pluto Financial essentially lets investors pledge their positions in venture, growth, or buyout funds as collateral for a flexible credit line – without forcing an early exit from the fund.

Its AI-driven underwriting evaluates complex private portfolios to determine loan terms. At the same time, partnerships with platforms like Allocate and Moonfare will integrate Pluto’s borrowing option for thousands of users managing over $6B in alternative assets. The new funding will allow Pluto to secure regulatory licenses, deepen its lending pool, and reach more investors through integrations. By bridging the gap between private asset wealth and everyday liquidity needs, Pluto Financial is positioned to make private equity a more practical asset class for a broader range of investors.

• Startup: Pluto Financial (AI-driven lending for private assets, New York, NY)

• Investors: Motive Ventures (lead); Portage; Apollo Global Management; Hamilton Lane; Tectonic Ventures; Broadhaven; others

• Amount Raised: $8.6 million

• Total Raised: $8.6 million

• Funding Stage: Seed round

• Funding Date: January 6, 2026

Tech Funding Summary Table