---
title: "Modal Raises $750M Series D at $15.75B as Run Rate Tops $1B"
description: "Modal raised a $750 million Series D led by Accel at a $15.75 billion post-money valuation after reporting more than $1 billion in annualized run rate."
date: 2026-10-14T00:00:00.000Z
source: https://venturecapitaltracker.com/modal-750m-series-d-15-75b-valuation
---

# Modal Raises $750M Series D at $15.75B as Run Rate Tops $1B

> Modal raised a $750 million Series D led by Accel at a $15.75 billion post-money valuation after reporting more than $1 billion in annualized run rate.

Modal has raised **$750 million in a Series D at a $15.75 billion post-money valuation**, only five months after closing a $355 million Series C at $4.65 billion. Accel led the new round, Kleiner Perkins joined, and Modal said every major existing investor participated.

The round is confirmed in [Modal's announcement](https://modal.com/blog/1-billion-annualized-run-rate-series-d). The company also reported more than **$1 billion in annualized run rate**, usage that tripled since May and year-over-year growth above 15-fold. Those operating figures are company-supplied and should not be read as audited revenue.

## The financing

| Item | Detail |
|---|---|
| Round | Series D |
| New capital | $750 million |
| Valuation | $15.75 billion post-money |
| Lead investor | Accel |
| New participant | Kleiner Perkins |
| Returning investors | Menlo Ventures, General Catalyst, Redpoint, Lux Capital, Amplify Partners and Bain Capital Ventures |

The valuation is more than three times Modal's May mark. The speed of the re-rating matters as much as the amount: investors are pricing Modal as infrastructure for AI applications and agents, rather than as another GPU reseller.

## Why Modal's run rate needs context

Modal provides a developer platform for inference, training, batch workloads and isolated **Sandboxes** in which AI agents can execute code. It built its own container runtime, file system and scheduler, while sourcing compute capacity across more than 20 cloud providers.

That architecture can give developers a simpler interface and give Modal a way to aggregate fragmented capacity. It also exposes the company to two demanding economics: compute must remain available during peak demand, and gross margins depend on purchasing capacity efficiently while keeping utilization high.

Modal says Sandboxes alone have reached a $300 million annualized run rate and that almost three billion have been started since 2023. The product is increasingly important because coding agents need secure, disposable execution environments. The strategic question is whether that usage becomes durable platform revenue or remains sensitive to a handful of fast-growing AI customers.

## Competitive position

Modal competes with hyperscalers, GPU clouds including CoreWeave and Lambda, and serverless AI platforms. Its differentiation is the developer experience across multiple workload types, not ownership of data centers.

That distinction creates both opportunity and risk. Modal can add capacity without matching the capital expenditure of a vertically integrated cloud, but it depends on upstream providers and must keep its abstraction compelling as hyperscalers improve their own AI tooling.

The financing gives Modal substantial room to expand training and fine-tuning products, deepen its multi-cloud capacity pool and support a team of more than 200 people across New York, San Francisco and Stockholm. Execution will be measured less by headline run rate than by customer concentration, margins and whether developers standardize on the platform after the current agent-building surge.

**By:** [Venture Capital Tracker](https://venturecapitaltracker.com/editorial-policy)

**Editorial note:** AI tools assisted with research, structure, or drafting. Venture Capital Tracker retains human editorial responsibility for factual accuracy, relevance, and source quality before publication.