IBM and NVIDIA Announces Partnership on Enterprise Open-Source AI Infrastructure on IBM Cloud

IBM

IBM has entered into a landmark multi-year, $240 million agreement with Together AI to deploy advanced NVIDIA AI infrastructure on IBM Cloud. The deal paves the way for a dedicated, large-scale inference cluster powered by NVIDIA HGX B300 systems and NVIDIA Spectrum-X™ Ethernet networking, scheduled to become operational in the first quarter of 2027.

Designed to accelerate open-source model inference, the deployment marks the first dedicated, large-scale cluster of its kind on IBM Cloud. According to NVIDIA architecture specifications, the high-performance system delivers up to 30 times the AI factory output of prior-generation hardware.

Key Partnerships Features

Open-Source High-Throughput Inference: Together AI will leverage the specialized IBM Cloud cluster for delivering enterprise-level open-source model inference offering high reliability and good token economics for the builders.

Advanced Architecture: The system includes the combination of NVIDIA HGX B300 accelerators along with NVIDIA Spectrum-X Ethernet network on IBM Cloud for achieving fast data throughput with low latency at an enterprise level.

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Fast Deployment Timeline: Availability of the specialized cluster is scheduled for Q1 2027.

Driving Token Economics and Accessible Enterprise AI

The strategic collaboration addresses growing enterprise demand for modular, open-source AI alternatives to proprietary models. Together AI-which recently closed an $800 million Series C funding round at an $8.3 billion valuation-spans a full AI-native stack covering inference, model training, fine-tuning, and agentic workflows. Its inference platform currently processes over 400 trillion tokens per month.

By selecting IBM and NVIDIA, Together AI leverages state-of-the-art compute roadmaps and scalable GPU capacity to lower the unit cost of token generation while expanding enterprise availability.

“Enterprises want the performance of the best frontier models without the closed-model price tag, and that only works if the infrastructure underneath is fast and reliable at scale,” said Vipul Ved Prakash, CEO at Together AI. “Working alongside IBM with NVIDIA gives us that foundation. This cluster lets us bring production-grade inference to more companies, faster, and it’s a big step in our push to make open-source AI the obvious choice for enterprises.”

Expanding the Enterprise AI Ecosystem

The collaboration underscores a broader commitment from IBM and NVIDIA to build scalable, production-grade cloud environments that support rapid enterprise adoption of agentic AI workflows.

“Enterprises are in a race to adopt agentic AI at scale to drive real business outcomes,” said Alan Peacock, General Manager of IBM Cloud. “IBM and NVIDIA are delivering scalable, economical, enterprise-grade AI infrastructure that can help Together AI accelerate innovation for the next generation of AI infrastructure.”

“AI factories are becoming essential enterprise infrastructure-like electricity and telecommunications-turning compute and data into intelligence,” said Dion Harris, Senior Director, HPC and AI Infrastructure Solutions, NVIDIA. “With NVIDIA HGX B300 systems and NVIDIA Spectrum-X Ethernet networking on IBM Cloud, IBM and Together AI will deliver an accelerated computing platform to help enterprises deploy open-source AI with the performance, efficiency and scale required for real-time AI services.”