What are the latest funding news in the data center market? (July 2026)
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Data center fundraising stayed very active in early 2026 because AI workloads pushed operators toward more power, denser racks, and faster facility deployment.
The latest rounds show that investors are not only backing colocation and hyperscale capacity, but also the cooling and power layers needed to run AI infrastructure.
Funding also moved into more unusual formats, from ocean-powered compute nodes to space-based data centers, as land, grid access, and cooling become harder constraints.
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Insights
- Power and cooling dominated the latest data center market funding news, with 8 of the 12 rounds tied directly to energy delivery, thermal systems, or modular infrastructure.
- Large physical capacity deals were still the biggest checks, with Yondr, Firmus, Armada, Starcloud, and Panthalassa together representing more than $1.5B in disclosed funding.
- Liquid cooling is becoming its own investable category, as Omen AI, ZutaCore, and Orbital Industries all raised capital around coolant monitoring, cooling fluids, or direct-to-chip cooling.
- The market is no longer just about bigger campuses, since startups are also funding edge modules, offshore nodes, orbital capacity, and behind-the-meter power systems.
- AI infrastructure pressure is visible in almost every deal, but the funded companies are mostly solving physical bottlenecks rather than selling cloud compute services.
- Early-stage companies still raised meaningful rounds, including TAR, Barocal, and C2i Semiconductors, showing investor appetite for new data center power and cooling architectures.
- Asia-Pacific was highly visible through Firmus and EPG, while the U.S. remained central for modular, offshore, space-based, and power infrastructure companies.
- Alternative data center capacity is becoming credible enough for venture-scale funding, with Starcloud and Panthalassa together raising $310M for non-traditional data center locations.
As this chart shows, and as featured in our data center market deck, search interest in data centers has increased significantly
Summary table of the latest funding deals in the data center market as of July 2026
We define the data center market as the market for delivering and operating physical data center capacity, including space, power, and cooling, used to host computing equipment.
We include colocation providers and hyperscale facilities, whether owned or leased, plus the facility infrastructure required to power and cool IT loads.
We exclude the IT equipment and software inside the facility, including servers, GPUs, storage, networking, and cloud services revenue.
You can also read our detailed analysis to understand how funding activity in the data center market has evolved over the last few years.
We also have a quarter-by-quarter analysis of funding activity in the market here.
Finally, you can check our complete list of fundraising deals for the data center market (we update this list every quarter) as well as our ranking of the most funded startups.
| Name | When | Amount in $ | Round Type | Category |
|---|---|---|---|---|
| Omen AI | 30 June 2026 | $31M | Series A | Data center cooling operations |
| TAR | 15 June 2026 | $27M | Seed | Behind-the-meter data center power infrastructure |
| ZutaCore | 2 June 2026 | $100M+ | Series C | Waterless liquid cooling infrastructure |
| Orbital Industries | 28 May 2026 | $50M | Series B | Cooling fluid and modular data center infrastructure |
| Armada | 20 May 2026 | $230M | Series B | Modular edge data center capacity |
| Barocal | 6 May 2026 | $10M | Seed | Solid-state data center cooling |
| Panthalassa | 4 May 2026 | $140M | Series B | Floating data centers and ocean power |
| Firmus | 7 April 2026 | $505M | Strategic equity | AI data center and AI factory capacity |
| EPG | 31 March 2026 | $100M+ | Series B+ | Prefabricated modular data center infrastructure |
| Starcloud | 30 March 2026 | $170M | Series A | Space-based data center capacity |
| Yondr Group | 23 February 2026 | $532M | Green ABS financing | Hyperscale data center development |
| C2i Semiconductors | 17 February 2026 | $15M | Series A | Data center power delivery architecture |
All the latest funding deals during in the data center market as of July 2026
Omen AI raised $31M in Series A funding in June 2026
When was it?
The deal was announced on 30 June 2026.
Who are they?
Omen AI builds sensors that monitor coolant health in liquid-cooled data centers in real time.
Geographical focus?
Omen AI is based in San Francisco and serves large AI data center customers across a broad market.
Why do we include them in the data center market?
Omen AI belongs in the data center cooling operations category because coolant quality is critical for high-density AI racks.
What is the company stage?
Omen AI is at an early commercial stage, with deployments across data center customers managing large-scale capacity.
How much did they raise?
Omen AI raised $31M for this round.
What round is it?
The round was a Series A.
Why did they raise?
Omen AI raised to scale continuous coolant intelligence and help operators prevent contamination, downtime, and expensive rack shutdowns.
TAR raised $27M in seed funding in June 2026
When was it?
The deal was first reported on 15 June 2026.
Who are they?
TAR builds modular behind-the-meter energy systems for AI data centers.
Geographical focus?
TAR is focused on the U.S. market, with a strong emphasis on Texas data center and energy infrastructure.
Why do we include them in the data center market?
TAR belongs in data center power infrastructure because the company builds on-site power capacity for AI data centers.
What is the company stage?
TAR is a seed-stage infrastructure company moving from concept and early buildout into deployment.
How much did they raise?
TAR raised $27M for this round.
What round is it?
The round was a seed round.
Why did they raise?
TAR raised to deploy plug-and-play power systems that can reduce grid interconnection delays for AI data centers.
This chart, featured in our data center market deck, compares the main business model options for hyperscale data center operators
ZutaCore raised more than $100M in Series C funding in June 2026
When was it?
The deal was announced on 2 June 2026.
Who are they?
ZutaCore makes waterless two-phase direct-to-chip liquid cooling systems for AI and HPC data centers.
Geographical focus?
ZutaCore targets the global data center market from its U.S. headquarters and international strategic network.
Why do we include them in the data center market?
ZutaCore belongs in data center cooling infrastructure because its system directly supports dense AI rack thermal loads.
What is the company stage?
ZutaCore is a growth-stage company scaling deployments and strategic partnerships.
How much did they raise?
ZutaCore raised more than $100M for this round.
What round is it?
The round was a Series C.
Why did they raise?
ZutaCore raised to scale waterless cooling deployments as AI chips push heat density beyond traditional cooling approaches.
Orbital Industries raised $50M in Series B funding in May 2026
When was it?
The deal was announced on 28 May 2026.
Who are they?
Orbital Industries designs PFAS-free dielectric cooling fluids and modular high-density data center infrastructure.
Geographical focus?
Orbital Industries operates from London and San Francisco while targeting global AI data center customers.
Why do we include them in the data center market?
Orbital Industries belongs in cooling and modular infrastructure because its products are built for high-density data centers.
What is the company stage?
Orbital Industries is in early growth, with commercial deployment becoming the next priority after its data center infrastructure pivot.
How much did they raise?
Orbital Industries raised $50M for this round.
What round is it?
The round was a Series B.
Why did they raise?
Orbital Industries raised to scale cooling fluids and modular infrastructure as GPU power densities increase.
This chart, featured in our data center market deck, shows how Equinix is capturing share in data centers
Armada raised $230M in Series B funding in May 2026
When was it?
The deal was announced on 20 May 2026.
Who are they?
Armada builds modular edge data center systems for remote, industrial, defense, and energy sites.
Geographical focus?
Armada is U.S.-based and deploys infrastructure across industrial, government, energy, and remote locations.
Why do we include them in the data center market?
Armada belongs in modular edge data center capacity because the company manufactures physical data center modules.
What is the company stage?
Armada is a growth-stage company scaling manufacturing and deployments after raising almost $500M in total funding.
How much did they raise?
Armada raised $230M for this round.
What round is it?
The round was a Series B.
Why did they raise?
Armada raised to scale modular AI data center manufacturing and expand deployments beyond traditional cloud regions.
Barocal raised $10M in seed funding in May 2026
When was it?
The deal was announced on 6 May 2026.
Who are they?
Barocal develops solid-state cooling technology based on barocaloric materials for data centers.
Geographical focus?
Barocal is UK-based and targets the global data center cooling market.
Why do we include them in the data center market?
Barocal belongs in data center cooling infrastructure because its cooling platform is designed for data center thermal loads.
What is the company stage?
Barocal is a seed-stage engineering company working toward commercial deployment.
How much did they raise?
Barocal raised $10M for this round.
What round is it?
The round was a seed round.
Why did they raise?
Barocal raised to accelerate development of a solid-state cooling system that could reduce data center cooling energy.
In our data center market deck, we identify pain points entrepreneurs should prioritize
Panthalassa raised $140M in Series B funding in May 2026
When was it?
The deal was announced on 4 May 2026.
Who are they?
Panthalassa develops ocean-powered compute nodes that use wave energy and seawater cooling.
Geographical focus?
Panthalassa is U.S.-based, with manufacturing near Portland and initial ocean deployments planned in the Pacific.
Why do we include them in the data center market?
Panthalassa belongs in alternative data center capacity because its product combines compute housing, power generation, and cooling offshore.
What is the company stage?
Panthalassa is moving from prototype to pilot and early scale.
How much did they raise?
Panthalassa raised $140M for this round.
What round is it?
The round was a Series B.
Why did they raise?
Panthalassa raised to build manufacturing capacity and deploy ocean-powered AI infrastructure outside conventional data center constraints.
Firmus raised $505M in strategic equity funding in April 2026
When was it?
The deal was announced on 7 April 2026.
Who are they?
Firmus builds and operates AI-focused data center infrastructure, including Southgate AI factories.
Geographical focus?
Firmus focuses on Asia-Pacific, with Australia and Indonesia highlighted in recent infrastructure announcements.
Why do we include them in the data center market?
Firmus belongs in hyperscale AI data center capacity because the capital supports physical AI factory rollout.
What is the company stage?
Firmus is a growth-stage infrastructure company scaling large AI infrastructure campuses.
How much did they raise?
Firmus raised $505M for this round.
What round is it?
The round was a strategic equity investment.
Why did they raise?
Firmus raised to accelerate AI factory rollout and secure sovereign and hyperscale AI infrastructure capacity across Asia-Pacific.
This market map, featured in our data center market deck, highlights top companies and startups in the data center market
EPG raised more than $100M in Series B+ funding in March 2026
When was it?
The deal was reported on 31 March 2026, after the company announcement on 30 March 2026.
Who are they?
EPG builds prefabricated modular data center systems that integrate power, cooling, and facility infrastructure.
Geographical focus?
EPG is headquartered in Singapore, with manufacturing hubs in Malaysia and China and customers across Asia and global markets.
Why do we include them in the data center market?
EPG belongs in modular data center facility infrastructure because its modules include physical power and cooling systems.
What is the company stage?
EPG is a growth-stage company with more than 200MW of prefabricated data center modules delivered in 2025.
How much did they raise?
EPG raised more than $100M for this round.
What round is it?
The round was a Series B+.
Why did they raise?
EPG raised to expand international growth, R&D, manufacturing, and delivery capacity for AI-ready modular data centers.
Starcloud raised $170M in Series A funding in March 2026
When was it?
The deal was announced on 30 March 2026.
Who are they?
Starcloud builds orbital data centers using space-based solar power and radiative cooling.
Geographical focus?
Starcloud is based in Redmond, Washington and targets global space-based compute infrastructure.
Why do we include them in the data center market?
Starcloud belongs in alternative physical data center capacity because its product is data center capacity in orbit.
What is the company stage?
Starcloud is an early-growth deep-tech infrastructure company scaling from prototypes toward larger space data center deployments.
How much did they raise?
Starcloud raised $170M for this round.
What round is it?
The round was a Series A.
Why did they raise?
Starcloud raised to build space-based data centers as AI demand increases pressure on terrestrial land, power, and cooling.
This chart, featured in our data center market deck, illustrates yearly funding for data center startups
Yondr Group secured $532M in green ABS financing in February 2026
When was it?
The financing was announced on 23 February 2026.
Who are they?
Yondr Group develops and operates hyperscale data center campuses.
Geographical focus?
Yondr Group is a global hyperscale developer, with this financing tied to the Slough campus in the United Kingdom.
Why do we include them in the data center market?
Yondr Group belongs in hyperscale data center capacity because the financing is secured against operational data center assets.
What is the company stage?
Yondr Group is an operating growth-stage infrastructure company with active and expanding data center assets.
How much did they raise?
Yondr Group secured $532M for this financing.
What round is it?
The transaction was green asset-backed securities financing, not a venture equity round.
Why did they raise?
Yondr Group raised to refinance part of the Slough campus and diversify capital for European digital infrastructure expansion.
C2i Semiconductors raised $15M in Series A funding in February 2026
When was it?
The deal was covered on 15 February 2026 and reported by data center media on 17 February 2026.
Who are they?
C2i Semiconductors develops grid-to-GPU power delivery architecture for AI data centers.
Geographical focus?
C2i Semiconductors is India-based and targets large-scale AI data centers globally.
Why do we include them in the data center market?
C2i Semiconductors belongs in data center power infrastructure because its system addresses electrical conversion and distribution to AI racks.
What is the company stage?
C2i Semiconductors is an early Series A company developing and testing a plug-and-play grid-to-GPU system.
How much did they raise?
C2i Semiconductors raised $15M for this round.
What round is it?
The round was a Series A.
Why did they raise?
C2i Semiconductors raised to reduce power conversion losses as AI data centers face tighter power limits.
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- A complete list of funding deals in the data center market
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