Two LA Startups Raised $2.37B to Build What AI Needs

Two Los Angeles startups raised a combined $2.37 billion in equity this week to address manufacturing and energy constraints for the AI era, according to a report published Friday. Hadrian, based in Torrance, announced it raised $1.37 billion in Series D funding at a $7.87 billion valuation. The company plans to use the capital to open new factories, expand research and development, and increase capacity for defense, aerospace and industrial systems. Valar Atomics, based in El Segundo, closed a $1 billion Series B led by Sequoia Capital and secured a $200 million credit facility at a reported $6 billion valuation. The company is developing standardized, factory-built nuclear power plants. In June, Valar's Ward 250 reactor achieved a self-sustaining nuclear reaction and demonstrated electricity generation to power an Nvidia Blackwell system. Hadrian's customers include Lockheed Martin, RTX and Anduril. The company combines skilled workers with AI, robotics and proprietary software to manufacture precision components. Valar says the new funding will help it move from proving its technology works to producing reactors at scale. The large rounds reflect a shift toward investing in physical infrastructure such as factories and energy systems to support AI development.