Robotics AI startup Physical Intelligence is seeking a valuation of about $20 billion

Physical Intelligence, a startup that develops AI software to power robots, is in talks to raise money at a valuation of about $20 billion, according to Bloomberg.

The company is discussing a round of at least $1 billion, with existing backers Avenir and Lux Capital in talks to lead it, according to Bloomberg. Physical Intelligence, Avenir and Lux Capital did not respond to Bloomberg's requests for comment.

Physical Intelligence secured funding that valued it at $11.5 billion this year, according to Bloomberg. The company has no revenue, according to Bloomberg.

Other backers include CapitalG, Alphabet $GOOGL's independent growth fund, Amazon $AMZN.com founder Jeff Bezos and Thrive Capital, according to Bloomberg. Onetime Google DeepMind researchers teamed up with academics at Stanford University and the University of California, Berkeley, to start the company in 2024.

This month, Physical Intelligence began letting outside developers use and tailor its newest robotics models, according to Bloomberg. The option is in beta and has increased investor interest in the fundraising, according to Bloomberg.

"Real-world robotic applications are not easy," the startup wrote when it announced the launch, according to Bloomberg. "Tackling robotic construction, robotic surgery, or warehouse automation each requires an entire company."

Physical Intelligence says its AI works across many kinds of hardware from other makers and can carry out numerous different robot motions, according to Bloomberg.

OpenAI and Elon Musk's Tesla $TSLA are among a growing number of startups and bigger companies that compete with the company, according to Bloomberg. Skild AI, another startup centered on teaching robots to learn, reached a $14 billion valuation when it raised funds in January. Skild AI announced in September that its annual recurring revenue had passed $100 million, according to Bloomberg.