Breaking news

Relativity Networks Raises $22 Million To Make Data Centers Faster

Data center developers are expected to invest as much as $4 trillion by the end of the decade, but finding enough power and suitable locations is becoming increasingly difficult. Relativity Networks is betting that faster fiber could help data centers overcome some of those geographic constraints.

The company announced $22 million in SAFE note funding from Rhapsody Venture Partners, Bell Ventures and Faster Than Glass, among others. It also secured a $40 million follow-on order from an unnamed hyperscaler.

Hollow-Core Fiber Cuts Latency

Relativity Networks develops hollow-core fiber, which can transmit data 50% faster than conventional fiber. Instead of sending light through glass, the technology uses a hollow center containing air or a near-vacuum, allowing signals to travel closer to the speed of light.

For a signal traveling one kilometer, CEO Jason Eichenholz estimates that conventional fiber takes about five microseconds. Hollow-core fiber can reduce that to roughly 3.5 microseconds.

Connecting Data Centers Across Greater Distances

As AI systems grow, computing resources are increasingly spread across large campuses and multiple facilities. That makes network latency more important, particularly when separate data centers need to function as a single synchronized system.

Eichenholz sees an opportunity to connect existing facilities across multiple campuses, allowing companies to locate computing infrastructure closer to available power without sacrificing as much performance.

A 50% reduction in latency could effectively allow compute facilities to be separated by greater distances while maintaining similar networking performance.

From Compute To Geography

Eichenholz describes the evolution of AI infrastructure in three stages: first optimizing computing power, then improving networking within data centers, and now optimizing where computing infrastructure is physically located.

For Relativity Networks, faster fiber could therefore become an important piece of the next phase of AI infrastructure expansion.

Paramount Closes $110 Billion Warner Bros. Discovery Deal, Creating Skydance Entertainment Giant

Paramount has completed its $110 billion acquisition of Warner Bros. Discovery, bringing together two of the most powerful names in media under a new combined company, Skydance. The deal, announced Tuesday, creates one of the largest entertainment mergers ever completed and reshapes the competitive landscape across streaming, film, television and cable.

A New Power Center In Global Entertainment

The combined company unites Paramount+ and HBO Max, alongside a broad portfolio of networks that includes CBS, CNN, MTV, TBS, Comedy Central and Food Network. It also gives Skydance control over some of the industry’s most valuable franchises, including The Lord of the Rings, Game of Thrones, the DC Universe and Yellowstone.

For the industry, the scale of the transaction is as significant as the assets themselves. In an era defined by streaming competition and rising content costs, ownership of established intellectual property has become a strategic advantage akin to controlling a premium distribution network in a previous media cycle.

Ellison Expands His Influence

The merger places one of the world’s largest entertainment studios under the control of David Ellison, who only last year completed the combination of Skydance Media and Paramount. With this latest transaction, Ellison is accelerating his rise as one of Hollywood’s most influential executives.

The Ellison family remains Skydance’s largest shareholder, backed by the financial power of Larry Ellison, the Oracle co-founder and David Ellison’s father. That support gives the company considerable flexibility as it integrates two sprawling media businesses and seeks to compete more aggressively across platforms.

Legal Hurdles Cleared Before Closing

The deal’s completion follows settlements with a coalition of U.S. states and a Hollywood writers’ union, removing the principal legal obstacles that had threatened to delay or derail the merger.

Paramount first announced in February that it would pursue Warner Bros. Discovery after a bidding contest with Netflix, which had earlier struck its own agreement to acquire Warner Bros.’ film and television studios and streaming operations, excluding the cable networks. Paramount strengthened its offer by promising shareholders additional cash if the deal failed to close by a set deadline and by agreeing to cover the breakup fee owed to Netflix.

What Skydance Says Comes Next

“Today is a historic day, not just for Skydance but for our entire industry,” Ellison said in a statement. “From the start, our ambition was to bring these two storied studios together and create a stronger competitor, with the talent, resources, and reach to tell great stories in every genre, on every platform, for audiences everywhere. Our focus now turns to the future: building a company that empowers creatives, entertains audiences and rewards shareholders. We couldn’t be more excited to get to work.”

Skydance said the combined company will generate nearly $70 billion in annual revenue. The company’s Class B shares are set to begin trading on the New York Stock Exchange today under the ticker symbol SKYD.

The Future Forbes Realty Global Properties
Aretilaw firm
Uol
eCredo

Become a Speaker

Become a Speaker

Become a Partner

Subscribe for our weekly newsletter