Physical Intelligence, a robotics-focused AI startup founded by former researchers from Google DeepMind, is reportedly in discussions to raise around $1 billion in fresh funding, which could value the company at over $11 billion.
The potential deal would mark a sharp jump in valuation, nearly doubling the company’s worth in just a few months. Its previous funding round of $600 million had valued the startup at approximately $5.6 billion, highlighting strong investor confidence in its rapid progress.
Founded in 2024, Physical Intelligence is building advanced AI models designed to power robots capable of performing a wide range of real-world tasks. The company’s vision is to create “general-purpose” robotic intelligence—systems that can learn and adapt across different environments, rather than being limited to single-use applications.
The startup has already attracted backing from prominent investors including Thrive Capital, Lux Capital, and Jeff Bezos, and is now in talks with additional major investors such as Founders Fund and Lightspeed Venture Partners for the new round.
Its technology is currently being tested in practical settings, such as automating repetitive tasks like folding laundry or packaging operations, as part of efforts to bring AI-powered robotics into everyday commercial environments.
The development reflects growing momentum in the “physical AI” space, where companies are combining machine learning with robotics to move beyond digital applications into real-world automation. With rising investor interest and increasing competition, startups like Physical Intelligence are positioning themselves at the forefront of the next wave of AI innovation.
