Situational Awareness invests $400 million in Source Foundry to speed chipmaking
Business
Situational Awareness, an AI-focused hedge fund, just put $400 million into Source Foundry, a chip startup launched by Stanford researchers.
Its goal? Make chip production faster and cheaper.
This brings the hedge fund's total investment in Source Foundry to $500 million, showing real confidence even as it deals with money troubles.
Situational awareness halves assets to $10B
Situational Awareness, started by former OpenAI researcher Leopold Aschenbrenner in 2024, was riding high until AI stock prices dropped hard.
In July 2026, it sold most of its public holdings to Citadel and saw its assets cut in half, from $20 billion to $10 billion.
Still, keeping its stakes in Anthropic and doubling down on deep tech like Source Foundry shows it's betting big on the next wave of innovation.