Ayar Labs has raised $155 million in Series D funding, backed by Nvidia, AMD, and Intel, boosting its valuation over $1 billion. The startup specializes in optical interconnect technology, crucial for enhancing data transfer in AI workloads. Its TeraPHY optical I/O chiplet offers four terabits per second bandwidth while consuming minimal power. The funding will help scale manufacturing to meet growing demand for advanced interconnects, with high-volume production expected by mid-2026.