# Modal hits $1 billion annual run rate and closes $750 million Series D

> The cloud platform says usage has tripled and it raised $750 M at a $15.75 B valuation.

Oossa · 2026-10-14 · https://oossa.com/en/modal-hits-1-billion-annual-run-rate-and-closes-750-million-series-d

Modal announced that its annualized run rate has passed $1 billion. The company says usage grew three‑fold in the last five months and its year‑over‑year growth is over 15×. At the same time, Modal closed a $750 million Series D financing round, valuing the firm at $15.75 billion. The round was led by Accel, with Kleiner Perkins and all existing investors participating.

## What the platform powers

Modal’s infrastructure is being used for a range of AI‑driven products. TypeSafe AI’s Jev processed one trillion tokens on Modal in its first three days. DoorDash’s AI team uses Modal to move experiments into production. Companies such as Runway, Physical Intelligence, and Chai Discovery run video generation, robot training, and drug‑discovery workloads on the service. Modal also offers “Sandboxes,” a product that lets developers run code generated by large language models; the team says Sandboxes alone generate $300 million of run‑rate revenue.

## New tools and future plans

The firm says it has rebuilt its core stack – file system, container runtime, scheduler and networking – to run across more than 20 cloud providers. Recent releases include multi‑node training with RDMA‑connected clusters, Modal servers for HTTP serving, and Endpoint Candidates for LLM inference. Virtual‑machine‑based Sandboxes are now generally available.

## The facts

- Modal crossed $1 billion in annualized run rate, according to the company blog post dated Oct 14 2026.
- Usage on Modal tripled and year‑over‑year growth exceeded 15× in the last five months.
- The company raised $750 million in a Series D round at a $15.75 billion post‑money valuation.
- Accel led the Series D, with Kleiner Perkins and all existing investors participating.
- Modal’s Sandboxes generate $300 million of run‑rate revenue and have spun up close to 3 billion sandboxes.

## Why it matters

For developers building AI applications, Modal’s growth means more ready‑made infrastructure for running large models without handling GPUs or complex cloud setups. The new funding gives the company resources to expand its tools, which could lower the cost and speed up deployment of AI‑driven products for startups and enterprises alike.

## Sources & references

1. [Modal crosses $1B in Annualized Run Rate and raises $750M Series D](https://modal.com/blog/1-billion-annualized-run-rate-series-d) – Modal, 2026-10-14
2. [AI cloud startup Modal raises $750M at $15.75B valuation](https://siliconangle.com/2026/10/14/ai-cloud-startup-modal-raises-750m-at-15-75b-valuation/) – SiliconANGLE, 2026-10-14

Last updated: 2026-10-14