SiMa.ai announced on Monday the completion of a $150m Series C funding round at a $1.45bn valuation, bringing its cumulative capital raised to $500m. The company, based in San Jose, develops chips and software platforms enabling robots, drones and automobiles to execute AI workloads locally on the device rather than relying on cloud infrastructure.
Fidelity Management & Research Company and Amplify led the investment round. Alter Venture Partners, Dell Technologies Capital, Maverick Capital, +ND Capital, Point72 and StepStone Group participated alongside new backers including AllianceBernstein, Baron Capital, J.P. Morgan and the State of Michigan.
The latest round represents a significant valuation increase from the company's previous $85m Series B in July 2025, when SiMa.ai was valued at $960m according to PitchBook data.
Positioning Against Nvidia in Physical AI
SiMa.ai positions its silicon as a more cost-effective and energy-efficient alternative to Nvidia's GPUs for what the industry terms physical AI—computing systems that perceive and interact with the physical environment. The company claims its platform substantially accelerates deployment cycles, reducing timelines from several months to mere days or hours.
While others are still figuring out the pieces or repurposing their cloud offerings, we've built the entire puzzle
Krishna Rangasayee, SiMa.ai founder and CEO
Rangasayee established SiMa.ai in 2018 following a tenure as chief operating officer at chipmaker Groq.
Capital Allocation and Product Roadmap
SiMa.ai intends to deploy the capital toward expanding Palette Neat, its agentic software development environment for engineers. The funding will additionally support the development of new hardware scheduled for release in the first half of 2028, which the company projects will deliver 1,000 dense TOPS of compute capacity. TOPS—trillions of operations per second—represents a standard metric for evaluating AI processor performance.
The upcoming product portfolio will encompass machine learning intellectual property, chiplets and systems-on-chip architectures. SiMa.ai intends to address markets including unmanned aerial vehicles, humanoid robotics platforms, driver assistance technologies and intelligent vehicle cockpit systems.
The company reported that revenue growth expanded fourfold year-over-year between 2024 and 2025, though specific revenue figures remain undisclosed. Its customer and partner ecosystem includes Bosch, Emerson, Micron, Synopsys and TRUMPF.
Edge AI chip development has attracted substantial investment momentum throughout the year. Analog Devices committed $1.35bn to acquire edge AI chipmaker Alif, while NEURA and SECO announced plans to develop robot compute modules within Europe.
Source: The Next Web
