Rune raises $40M for its modular solar-powered data centers

Rune, a data center hardware maker, has successfully closed a $40 million funding round led by Spark Capital. The company, incorporated as Liitto Technology Inc., unveiled its first product, RELIC - Renewable Energy Linked Intelligent Compute. RELIC is a computing module optimized for artificial intelligence (AI) workloads, specifically designed for installation on solar farms.

One of RELIC's key selling points is its cost-effectiveness, reducing hardware expenses by 85% compared to traditional AI data centers. This reduction is achieved by eliminating the need for long-haul power transmission lines and transformers. Unlike AI data centers, RELIC modules don't require these components due to their proximity to photovoltaic cells and solar farms.

The novel approach of RELIC allows it to harness the otherwise unused capacity of solar panels, which is currently underutilized. RELIC co-founder and CEO William Layden explained that every solar plant is a "latent data center," with power already present but waiting for grid connections.

Each RELIC module ships with up to 1,024 graphics cards, cooling equipment, and custom power management components. The setup process takes approximately an hour, and customers can begin running AI workloads within weeks, significantly faster than the years required for standard data center construction.

Rune plans to leverage the funding to expand its market presence, focusing not only on solar power plants but also on wind farms.