Nothing has announced a new $5 million community funding round at a valuation of $1.3 billion, signalling its next phase of evolution from a hardware-first company to an AI-focused platform company.
The move comes as the smartphone industry enters a slowdown, with innovation increasingly shifting away from hardware and toward software intelligence.
Nothing believes it has built the foundation required for that transition
The company says it has now shipped millions of devices globally, crossed $1 billion in cumulative revenue, and recorded 150 percent year-on-year growth in 2024.
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What makes this round distinctive is its structure. Despite having closed a $200 million Series C in September 2025, Nothing is offering this community round at the same per-share price, allowing individual investors an opportunity to enter without valuation inflation.
The company has always leaned into community participation and already has nearly 8,000 community investors, who have contributed $8 million across previous rounds.
It even includes them through a rotating seat in company governance.
Nothing has raised over $450 million from institutional backers, including Tiger Global, GV, Highland Europe, EQT, and Qualcomm Ventures.
But instead of limiting ownership to VCs, this round reinforces a wider strategy to build its ecosystem alongside its users.
Looking ahead, the company says it is now developing AI-native operating systems designed to personalise user experiences across phones, audio devices, wearables, and future product categories.
Its first AI-native devices are expected to launch next year.
“We’ve built a global hardware foundation deliberately,” said CEO Carl Pei, “and now we’re using it to shape what consumer AI becomes.”
For supporters, this round offers not just a stake in hardware, but in the future interface between people and intelligent machines.