Physical Intelligence

Robotics · Artificial Intelligence

Funding

Physical Intelligence reportedly in talks to raise $1B at $20B valuation

Investors are racing to own the foundational model that could run every robot, pre-revenue or not.

• Physical Intelligence is in talks to raise at least $1 billion led by existing investors Avenir and Lux Capital, a deal that would value the robotics AI startup near $20 billion, Bloomberg reports.
• Founded in 2024 by former Google DeepMind researchers and academics from Stanford and UC Berkeley, the startup builds a hardware-agnostic AI platform meant to control many kinds of robots.
• The talks would nearly double Physical Intelligence's $11.5 billion valuation from earlier in 2026, extending a climb from roughly $400 million in March 2024 through $2.4 billion and $5.6 billion.
• The company has no current revenue, but its existing backers include Alphabet's CapitalG, Thrive Capital, and Amazon founder Jeff Bezos.
• The funding interest follows Physical Intelligence's mid-October beta release of its latest robot models to outside developers for fine-tuning, a move that helped catalyze investor demand.
• Physical Intelligence faces competition from OpenAI and Tesla as well as rival Skild AI, which reached a $14 billion valuation in January and has since crossed $100 million in annual recurring revenue.
• A pre-revenue robotics startup nearly doubling its valuation in months shows how aggressively venture capital is pricing generalist robot-control models as the next frontier after large language models.