Nothing has successfully closed a $200 million Series C funding round, spearheaded by Tiger Global. This injection of capital elevates the consumer electronics firm’s valuation to $1.3 billion. The company intends to leverage this funding to create AI-first devices.
Alongside Tiger Global, the round saw participation from existing investors GV, Highland Europe, EQT, Latitude, I2BF, and Tapestry. New strategic investments came from Nikhil Kamath and Qualcomm Ventures. This latest round brings Nothing’s total funding to over $450 million. Founded by Carl Pei, previously of OnePlus, Nothing aims to carve a niche with high-performance devices.
According to Matt Watcher, a partner at Tiger Global, Nothing is set to redefine hardware and software through an AI lens, positioning its products for the future. The company intends to launch another community funding round soon, having previously raised $11.5 million through such initiatives.
Nothing’s design-centric approach has proven fruitful, with the company reporting over $1 billion in total sales earlier this year. An early investor expressed satisfaction with the company’s growth and pathway to profitability. The company has focused on building a robust supply chain to facilitate global product launches. The Phone (3), Nothing’s recent release, showcases its transparent design and unique user interface.
While Nothing holds less than 1% of the global market share, it has achieved 2% in India, its largest market, according to IDC. The company has shipped 5.1 million units, with over a million in Q2 2025 alone. IDC notes that 80% of its sales are concentrated in Asia.
Pei aims to attract the next generation of tech enthusiasts seeking alternatives to established brands. He emphasized that Nothing’s brand and product differentiation resonates strongly with this demographic, who value creativity and design.
Highland Europe’s Tony Zappalà, an existing investor, affirms that Nothing has met its promises and has significant growth potential. He notes that Nothing’s brand recognition is a major asset for attracting talent and building supply chain relationships.
Nothing envisions an AI-driven operating system with enhanced personalization, extending beyond smartphones. Early AI integrations include Essential Search. Sélim Benayat, formerly of Linktree and Bento, will lead AI services.
Zappalà highlights that building an effective AI experience presents both customer experience and trust challenges. He believes AI features must reach a point where users trust the output implicitly.
While companies like Apple face challenges integrating AI, Nothing must balance innovation with practicality. Pei maintains that smartphones will remain central to consumer AI applications for the foreseeable future.
With the new funding, Nothing plans to launch an AI-first device next year. The AI hardware landscape has seen mixed results. Humane, with its AI Pin, was acquired by HP after struggling, and Rabbit is refining its R1 device following initial shortcomings.
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