Rackspace plans to run dedicated NVIDIA AI systems for Together AI starting in 2027, a sign that more providers may offer AI with tighter data control.
Rackspace, a company that runs computer systems for businesses, has agreed to operate a set of dedicated AI computers for Together AI. The multiyear deal was announced on Nov. 10, 2026. Deployment is planned for 2027, and it depends on certain conditions being met.
Rackspace expects to provide and run NVIDIA GB300 NVL72 systems, which are powerful AI machines, linked by NVIDIA networking. They will support what Together AI calls inference. That means running an AI model to answer questions or produce results, rather than building the model.
The two companies also signed a non-binding letter of intent. That is a statement that they plan to explore working together, not a firm commitment. The idea is to jointly serve business customers who want more control, compliance and data sovereignty, meaning more say over where their data lives. Any joint offering would need a further agreement.
Effective Nov. 6, 2026, Rackspace agreed to sell $66 million of its stock to investors led by Voss Capital. It expects to use the money for general business needs, working capital, equipment and growth, including AI chip projects. It also expects to seek separate financing to buy the NVIDIA systems themselves.
Most people will not notice anything soon. The deal matters most to businesses in regulated fields that want AI but worry about security and rules. Rackspace says its experience in those settings is its selling point. The company's chief executive, Gajen Kandiah, cited more than 25 years of running complex business systems.
The announcement does not give a price, the size of the deal or where the facility will be. Data residency, security and compliance features would depend on each specific offering and customer arrangement. Because the timeline and the chip financing are not settled, the plans could still change.
If your business wants AI with tighter data control, watch for new options from providers like these, but treat the 2027 plans as unconfirmed.
NTT Docomo Business X and ElevenLabs will help Japanese firms connect AI voice agents to the phone systems they already use, starting with call centers.
Read more: Japanese firms can now plug AI voice agents into their phone linesCogent and OpenAI say they are building AI agents that fix software security gaps with little human effort, which could mean fewer break-ins at large companies.
Read more: Cogent and OpenAI team up to fix security flaws automaticallyBay, a Tel Aviv startup, raised $50 million to help companies see which AI agents run in their systems and limit what those agents can do.
Read more: Israeli startup Bay raises $50 million to keep company AI agents in check
