Fal raises Series F at a $16 billion valuation

The Series F valued Fal at $16 billion, double the $8 billion valuation reported for April.[3] Bessemer Venture Partners led the round, which closed in October.[2][4] Bloomberg reported that Nvidia, Sound Ventures, HOF Capital and T. Rowe Price participated; Fal describes Nvidia as a strategic investor.[5][1] Bessemer partner Talia Goldberg is joining Fal’s board.[5] Fal’s previous Series E was led by Sequoia Capital, and Bloomberg reported that it raised $350 million at an $8 billion valuation.[1][5]

Fal hosts and runs image, video and audio AI models for developers.[3] Bessemer says developers can access thousands of models through a single API, while labs use Fal for distribution and serverless infrastructure.[2] Fal says the new capital will fund work across its ecosystem in 2027 and support new research and forms of creation.[1] The Next Web reports that Fal plans to spend on more computing power and on expanding its 185-person team.[4] These are stated investment priorities; the evidence does not specify how much funding is allocated to each.

Bessemer says large companies including Adobe, Canva, Shopify, World Labs and Amazon have moved production volume to Fal.[2] Fal says entertainment studios, advertising agencies, e-commerce brands, game developers and marketing teams run models in their production pipelines.[1] Bloomberg reported that Fal’s annualized revenue surpassed $800 million earlier in 2026.[3] The Next Web reported that Fal could not serve customers during the summer and had to rate limit them.[4] Together, these reports put the funding in the context of reported customer use and a stated need for additional capacity.

Fal’s infrastructure is built for real-time generation at scale, with low latency, low cost and high throughput, according to Bessemer.[2] TechCrunch reported that inference providers’ gross margins remain thin because computing capacity is expensive to buy or lease.[3] The Next Web reported that rival Modal raised $750 million at a $15.75 billion valuation in October, while Fireworks raised $1.5 billion at a $17.5 billion valuation in July.[4] Fal has begun fine-tuning video models with developers and may receive licensing fees or a share of revenue from some deals.[4] Its CEO said pretraining a Fal-owned model is not on the near-term agenda.[6]