Fluidstack, a startup specializing in AI-focused data center infrastructure, is currently negotiating a $1 billion funding round at an $18 billion valuation, according to a Bloomberg report. This potential deal would more than double the company's value just months after it was last valued at $7.5 billion. In December, sources indicated Fluidstack was raising approximately $700 million at the lower valuation, a round reportedly led by Situational Awareness, an artificial general intelligence fund established by former OpenAI researcher Leopold Aschenbrenner. The Situational Awareness fund also counts backing from Stripe co-founders Patrick and John Collison, former GitHub CEO Nat Friedman, and entrepreneur Daniel Gross. By February, Google was reportedly considering a $100 million investment in that ongoing round. The surge in valuation follows a landmark agreement announced in November between Fluidstack and AI giant Anthropic. Under this agreement, Fluidstack will construct custom data centers in Texas and New York tailored specifically for Anthropic's needs. The deal is valued at $50 billion, though the cash upfront is expected to be significantly lower, representing a massive commitment to Fluidstack's technology. Unlike hyperscalers such as Amazon Web Services or Google Cloud that offer general computing services, Fluidstack designs its hardware and infrastructure exclusively for the demanding requirements of training and running large AI models. This partnership has served as a major validation for Fluidstack, which was previously a niche player in the European AI market before relocating its headquarters from the United Kingdom to New York to prioritize U.S. expansion. Consequently, the company recently withdrew from a key €10 billion artificial intelligence project in France to focus its resources on the American market. Beyond Anthropic, Fluidstack's customer roster includes Meta, Poolside, Black Forest Labs, and Mistral. Prior to the Anthropic deal, Fluidstack had been primarily recognized for providing infrastructure to Mistral. The rapid appreciation in Fluidstack's worth reflects the intense competition for compute capacity in the AI sector. As companies like Anthropic and rival OpenAI expand rapidly, they require more than standard cloud resources, necessitating specialized facilities that offer greater control and efficiency. The current negotiations, which may involve top-tier financial and tech firms, signal strong investor confidence in Fluidstack's ability to meet this growing demand. Fluidstack has not yet responded to requests for comment regarding the specific terms or status of the current funding talks.