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IBM Teams Up with Together AI for $240 Million Neo-Cloud Venture

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International Business Machines Corp. (IBM) has signed a multi-year deal worth $240 million with Together AI to scale open-source AI inference on IBM Cloud using NVIDIA's HGX B300 systems.

The agreement, which is expected to come online in the first quarter of 2027, will involve deploying a large cluster of NVIDIA HGX B300 systems and Spectrum-X Ethernet networking on IBM Cloud.

This move puts IBM in the neo-cloud business, as per Nasdaq News. The partnership aims to leverage Together AI's expertise in open-source AI inference with NVIDIA's infrastructure on IBM Cloud.

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