India’s semiconductor ecosystem continues to gain momentum as Bengaluru-based startup C2i Semiconductors has successfully raised $15 million (approximately ₹136 crore) in its Series A funding round. The round was led by Peak XV Partners, with participation from TDK Ventures and existing investor Yali Capital.
This significant investment highlights growing investor confidence in India’s semiconductor and AI infrastructure sector, especially as demand for high-performance computing and AI data centres continues to surge globally.
About C2i Semiconductors
Founded in 2024 by Vikram Gakhar, Preetam Charan Anand Tadeparthy, and Ramprasad Ananthaswamy, C2i Semiconductors focuses on developing advanced power management solutions for AI data centres and cloud infrastructure.
The company’s name, C2i, stands for Conversion, Control, and Intelligence, reflecting its mission to create intelligent power delivery systems designed specifically for next-generation computing environments.
As AI workloads grow in complexity and scale, efficient and reliable power delivery has become one of the biggest challenges in modern data centre design. C2i aims to solve this problem through innovative system-level power architectures.
How the Funding Will Be Used
C2i plans to utilize the newly raised funds to accelerate the development of:
High-density power delivery solutions
Ultra-reliable power management systems
Platform-based configurable power architectures
Next-generation infrastructure optimized for AI computing
Unlike traditional semiconductor companies that focus on improving individual components, C2i is building a complete power delivery architecture that spans from grid-level systems to processor-level power management.
This approach enables:
Higher power density
Improved system efficiency
Simplified infrastructure design
Faster deployment of AI data centres
These benefits are critical for supporting large-scale AI workloads, cloud computing, and high-performance computing environments.
Previous Funding and Growth
Before this Series A round, C2i Semiconductors raised $4 million from Yali Capital in November 2024, which helped the company begin developing its core technologies.
With this new funding, the startup is expected to accelerate product development, expand its engineering capabilities, and strengthen its position in the global semiconductor market.
Growing Semiconductor Ecosystem in India
The funding comes at a time when the Indian government is actively promoting semiconductor innovation through initiatives such as the India Semiconductor Mission 2.0, announced in the Union Budget 2026-27.
The mission aims to:
Develop semiconductor manufacturing capabilities
Build full-stack Indian semiconductor IP
Strengthen supply chains
Promote domestic semiconductor startups
Additionally, the government’s Design Linked Incentive (DLI) scheme currently supports 24 semiconductor startups, with plans to enable at least 50 fabless semiconductor companies in the coming years.
India has already established a strong presence in semiconductor design and assembly, and initiatives like these are helping accelerate growth in this strategic sector.
Rising Investor Interest in Semiconductor Startups
Investor interest in semiconductor startups in India has been steadily increasing. According to industry reports, semiconductor startups in India raised approximately $50 million in 2025, compared to around $28 million in 2024, reflecting strong growth and confidence in the sector.
Other notable semiconductor startup funding includes:
Sophrosyne Technologies raising $2 million to commercialize its chip technology
Morphing Machines raising ₹38.4 crore to develop and test its first semiconductor chip
These developments show that India is becoming an important hub for semiconductor innovation.
Why This Matters for the Future of AI
As artificial intelligence continues to expand, the demand for high-performance computing infrastructure is growing rapidly. Efficient power delivery systems are essential for ensuring performance, reliability, and scalability.
C2i Semiconductors’ innovative approach to power architecture could play a key role in supporting the future of AI, cloud computing, and data centres globally.
This funding marks an important milestone not just for C2i, but also for India’s growing semiconductor ecosystem and its ambition to become a global leader in advanced technology.
Conclusion
C2i Semiconductors’ $15 million funding round represents a major step forward in India’s semiconductor and AI infrastructure sector. With strong investor backing and innovative technology, the startup is well positioned to support the next generation of AI-powered data centres.
As India continues to invest in semiconductor innovation and infrastructure, startups like C2i will play a crucial role in shaping the future of computing and artificial intelligence.
