Robot software startup in talks to raise $1B at $20B value

A startup that makes the software brains for robots may be about to nearly double in value. Bloomberg, citing sources, reports that Physical Intelligence is in talks to raise more than $1 billion at a value of about $20 billion. Earlier in 2026, the company was valued at $11.5 billion.

What is being reported

The reported round would be led by two investors, Avenir and Lux Capital. The talks are described by sources, so nothing is final. The deal could change in size or price, or it might not close.

What the company does

Physical Intelligence develops artificial intelligence software meant to power robots doing real-world tasks. Think of it as the thinking part of a robot, not the metal body. The idea is that one smart program could help many kinds of machines handle physical work.

Who it touches

For now, this is a story about investors, not about robots showing up at your job. Still, money tends to follow where people expect change. Large bets on robot software suggest backers think machines could someday take on more work in places like warehouses, shops and factories.

What is not known yet

• Whether the funding round will actually close
• The final amount raised and the final valuation
• When or where the company's software will be used in real workplaces
• How the company plans to spend the money

A valuation is simply the price investors put on a company. It is not a measure of sales or profit, and the material gives no such figures here.