Railway secures $100 million to challenge AWS with AI-native cloud infrastructure

Railway raised $100 million to expand its cloud platform that promises sub-second deployments and 50% cost savings compared to traditional providers like AWS. The company has grown to two million developers without marketing spend, betting that AI-generated code demands faster infrastructure than legacy cloud services can provide. Railway's approach of building its own data centers and charging only for actual usage rather than provisioned capacity challenges the fundamental economics of cloud computing.