Temporal raises $300 million in Andreessen-led round amid AI agent boom

Reuters

Tue, February 17, 2026 at 9:07 PM GMT+9 2 min read

Feb 17 (Reuters) - Software startup Temporal has raised $300 million in a funding round led by Andreessen Horowitz, valuing the company at $5 billion, as demand ‌rises for infrastructure to support artificial intelligence systems, the company told Reuters.

The ‌valuation doubles the $2.5 billion that the company reached after a secondary financing round in October led by GIC, ​Singapore’s sovereign wealth fund.

Lightspeed Venture Partners and Sapphire Ventures joined the Series D round, along with existing investors including Sequoia Capital, Temporal said.

Founded in 2019, Temporal builds open-source software and a cloud service designed to ensure “durable execution” of code - allowing applications to resume where ‌they left off after failures ⁠without requiring engineers to write custom recovery logic.

Co-founder and Chief Executive Samar Abbas said that capability is becoming more critical as AI ⁠systems move from generating responses to carrying out real-world tasks.

“We’ve been building Temporal for over a decade now and what we are trying to solve is these core reliability problems ​for distributed ​systems,” Abbas said in an interview. “When the ​software moves from generating answers to ‌executing work, the tolerance of failure basically becomes tiny.”

Abbas said the funding was not about “chasing an AI moment,” but about building a platform made to address reliability challenges in complex, long-running processes common for AI agents.

The company offers its open-source software for free and monetizes through Temporal Cloud, a multi-tenant managed service that charges customers based on usage.

Temporal ‌counts AI firms like OpenAI among its customers, as ​well as companies in other industries, including Snap , ​Netflix and JPMorgan Chase .

The San Francisco-based company, ​which employs more than 380 people, plans to use the funds ‌for research and product development, as ​well as to expand ​its sales and marketing efforts.

“Reliability is not like an optimization, it’s actually a gating factor for these systems to work,” said Sarah Wang, a partner at ​Andreessen Horowitz who led the ‌investment.

“Temporal is essentially the execution layer for all of that, so we ​believe this is the perfect gen AI infrastructure bet.”

(Reporting by Krystal Hu ​in San Francisco; Editing by Kevin Buckland)

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