DriveNets lands $410M Series D to fuel AI networking expansion

DriveNets, an Israel-based provider of large-scale networking software and Ethernet-based AI fabric infrastructure, has raised $410 million in a Series D funding round. The company disclosed that the round brings its total capital raised to around $1 billion and will be used to scale inventory and delivery capacity for its AI networking and heterogeneous infrastructure products amid rising demand for large AI deployments. The financing was led by Bessemer Venture Partners and Atreides Management, with participation from new strategic investor AMD and new investor Red Dot Capital, alongside existing backers Pitango and D1 Capital Partners.

While the official press materials did not state a valuation, Israeli business publication Calcalist reported that the Series D was completed at an $8.5 billion valuation, marking a significant step up for the company. This funding builds on DriveNets’ position supplying networking and AI fabric solutions to service providers and hyperscalers, as it reports more than $1 billion in secured business and cash-flow positivity since 2025. The round underscores growing investor interest in infrastructure enabling large-scale AI workloads, and cements DriveNets as a key player in open, Ethernet-based AI networking architectures.