DriveNets Raises $410 Million in New Funding with AMD Joining as First-Time Investor
Miles Bennett
Israeli networking software firm DriveNets closed a $410 million round, bringing total funding to $1 billion; AMD joined as a first-time investor — a signal that capital is now chasing the network layer of AI infrastructure.
Where did the money come from?
The $410 million round was co-led by Bessemer Venture Partners and Atreides Management.
New investors include AMD and Red Dot Capital; existing backers Pitango and D1 Capital Partners followed on.
Total funding now stands at $1 billion, though the company did not disclose its latest valuation.
What does DriveNets actually do?
Its core product is a network operating system — software that lets telecom carriers and data centers build networks on standard, off-the-shelf hardware.
In plain terms = swap out the expensive proprietary gear for commodity boxes plus DriveNets software — cheaper and faster to scale.
The platform handles both high-speed connectivity and AI workloads. This means → it sits squarely in one of AI's tightest bottlenecks: the network layer.
What signal does AMD's investment send?
AMD is a chip company that historically invested in hardware ecosystems; backing a networking software firm is a first.
This reflects a shift: the AI compute race has moved beyond "whose GPU is faster" to "whose network can keep the GPUs fed."
Broadcom semiconductor chief Charlie Kawwas put it plainly: "The performance of the underlying network has become a core driver of AI economics."
How will the funds be used?
CEO Ido Susan said the capital will meet fast-growing demand for large-scale AI infrastructure.
DriveNets already partners with Broadcom, Fujitsu, and Indian IT firm Wipro — covering chips, hardware, and system integration.
This means → the expansion playbook is not solo; it is locking in supply-chain partners to scale together.
Content is for reference only, not financial advice.