The open-source AI tool SGLang has transitioned into a standalone company named RadixArk, achieving a valuation of approximately $400 million. Originally developed in 2023 as a research initiative at the University of California, Berkeley by Ion Stoica, a co-founder of Databricks, SGLang enhances the inference stage of AI models. This crucial phase, where trained models deliver answers, significantly reduces computing costs while increasing performance.
According to sources familiar with the situation, RadixArk has secured funding from notable backers, including the venture capital firm Accel and early angel investors such as Intel CEO Lip-Bu Tan. The company was publicly announced in August 2023, and the team has since fully transitioned from the original open-source project to its new commercial entity.
Enhancing AI Performance and Cost Efficiency
SGLang was designed to accelerate the operation of large AI models, making them more efficient and cost-effective. Organizations such as xAI and Cursor have utilized the tool to enhance both training and inference processes within their AI systems. The growing interest in such performance-enhancing tools has prompted part of the original SGLang team to leave the Berkeley lab and join RadixArk.
RadixArk intends to further develop SGLang as an open-source engine while also creating additional tools. One of these new offerings is called Miles, a reinforcement learning framework aimed at enabling models to improve over time. As the company progresses, much of its software will remain freely available; however, RadixArk has initiated charges for certain paid hosting services.
Shifting Landscape in AI Infrastructure
This transition reflects a wider trend in the AI infrastructure sector, where tools initially conceived as academic or open-source projects are evolving into commercial ventures due to rising demand. Companies focusing on AI inference—the component of AI that allows models to function in real time—are increasingly attracting investment as the market expands.
As RadixArk embarks on this new chapter, its dual focus on maintaining open-source accessibility while developing commercial products positions it well within the rapidly evolving AI landscape. The ability to deliver faster and more affordable AI solutions places RadixArk at the forefront of a transformative industry, catering to an ever-growing need for efficient AI applications.
