New Delhi, Feb 16 (IANS) C2i Semiconductors, a Bengaluru‑based chip design startup supported under the government’s Design Linked Incentive (DLI) scheme, has raised $15 million in a Series A funding round led by Peak XV Partners, bringing its cumulative investment from private investors to roughly Rs 170 crore, it was announced on Monday.

The latest funding round follows a $4 million raise in 2024 and, together with DLI support, will accelerate development of power-management semiconductor solutions for next-generation AI data centres and cloud infrastructure, according to an official statement.

Recognising the potential of C2i’s breakthrough solution, Peak XV Partners (formerly Sequoia Capital India & SEA) has led a $15 million investment round to accelerate the development of next-generation, high-density and ultra-reliable system-level power delivery solutions.

This follows a $4 million funding round led by Yali Capital in 2024, taking the cumulative investment raised to approximately Rs 170 crore to date, in addition to the support received under the DLI Scheme.

Rajan Anandan, Managing Director at Peak XV, noted that C2i’s approach to power management can significantly extend GPU lifespan and unlock billions of dollars in industry savings.

The startup redesigns how electricity flows inside a server from the incoming power source to the processor chip using a grid to core approach, it added.

The new technology works as an intelligent power control system for data centres, helping high-performance AI systems operate reliably, efficiently and continuously for next-generation digital infrastructure.

India’s semiconductor programme is built to strengthen both design and manufacturing, with a strong focus on creating domestic intellectual property and globally competitive product companies, the ministry cited the government’s vision, quoting Union Minister Ashwini Vaishnaw.

India’s semiconductor chip design ecosystem is steadily strengthening, with startups supported under the DLI scheme drawing growing interest from both investors and the user community.

Semiconductor ventures traditionally involve long development timelines, substantial R&D investment and higher technical risk before revenues begin.

The DLI Scheme, announced in 2022, addresses this challenge by reducing upfront risk through financial support, access to advanced EDA tools, IP cores etc, the statement said.

Startups are onboarded through a rigorous screening and evaluation process by a competent expert committee comprising technical and industry specialists, ensuring support to credible deep-tech companies.

This structured intervention continues to improve investor confidence and commercial viability, leading to investors actively evaluating DLI-supported startups, the ministry said.

—IANS

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