Micro1 reaches $500M gross run rate amid AI training boom

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Micro1, a Palo Alto startup specializing in human-generated training data for AI models, has reached a $500 million gross run rate. The company grew from $7 million to $100 million in annual recurring revenue in just one year, from January to December 2025. Internal projections suggest ARR could reach between $200 million and $300 million in 2026. Micro1 raised a $35 million Series A in September 2025 at a $500 million valuation, backed by 01A and LG Technology Ventures. Its clients include Microsoft and multiple Fortune 100 companies.

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