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Frore Systems Reaches Unicorn Status with $143M Round, Expands into AI Data Center Cooling
As AI workloads scale at an unprecedented pace, heat is emerging as a critical constraint on performance. Silicon Valley startup Frore Systems is positioning itself at the center of this challenge, announcing a $143 million Series D round that brings its valuation to $1.64 billion.
The round was led by MVP Ventures, with participation from Fidelity, Mayfield, and Qualcomm Ventures. With total funding now reaching $340 million, Frore Systems has officially entered unicorn territory.
The company first gained attention with its AirJet technology, a solid-state active cooling chip designed for edge devices such as laptops. Roughly the size of two stacked credit cards, AirJet contains no spinning parts. Instead, it uses piezoelectric membranes vibrating at ultrasonic frequencies to generate airflow, delivering up to 1,750% higher back pressure than traditional fans.
Now, Frore Systems is expanding beyond edge computing into the data center space, where cooling demands are intensifying alongside next-generation AI infrastructure. In anticipation of upcoming high-density AI servers, including NVIDIA’s Kyber platform expected in 2027, the company has introduced LiquidJet Nexus, an integrated liquid cooling solution designed for compact compute environments.
Reinventing Thermal Management for High-Density AI Infrastructure
LiquidJet Nexus represents a shift toward more efficient and scalable cooling architectures. Designed for 0.5U compute trays, the system integrates multiple multi-stage 3D jet channels to deliver direct liquid cooling to GPUs and CPUs.
Compared to conventional liquid cooling systems, the technology improves heat transfer efficiency by 75% while reducing component temperatures by up to 8°C. Its simplified architecture eliminates the need for complex tubing, connectors, and manifolds, reducing system weight by 65%.
The system also supports inlet liquid temperatures as high as 53°C, which reduces the need for mechanical chillers in data centers. This can lower overall energy consumption and improve Power Usage Effectiveness (PUE) by around 10%, while doubling compute density per rack.
As AI infrastructure evolves, thermal management is becoming a foundational layer of the technology stack. Frore Systems is betting that its approach can redefine how data centers are built and operated in the AI era.
Behind the Unicorn: Taiwan as the Manufacturing Backbone
While Frore Systems is headquartered in Silicon Valley, a key part of its operations is rooted in Taiwan. The company established its Taiwan entity in Hsinchu in 2019, placing its core production close to one of the world’s most advanced hardware ecosystems.
This decision reflects the background of co-founder and CEO Seshu Madhavapeddy, who previously held leadership roles at Texas Instruments, Samsung, and Qualcomm. Through years of experience in mobile and IoT, he developed deep ties with Taiwan’s manufacturing sector and recognized both the cooling challenges in edge devices and the region’s capability to solve them.
Together with co-founder and CTO Surya Ganti, the team made a strategic decision to build and manufacture their cooling technology in Taiwan.
“Over the past decade, the AI software stack has evolved dramatically, and computing capabilities have expanded rapidly,” Madhavapeddy said. “Now, thermal management is becoming one of the core layers of AI infrastructure.”
The newly raised capital will be used to accelerate global deployment of AirJet and LiquidJet technologies across both edge computing and data center markets.
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