NTI: Hyderabad-based engineering services company Cyient has acquired a 27.3% strategic stake in Azimuth AI, a US-based fabless semiconductor design startup specializing in custom ASICs (application-specific integrated circuits) for the power and energy sectors. Cyient did not disclose the financial details of the transaction in its press release.
Krishna Bodanapu, Cyient’s Executive Vice Chairman and Managing Director, highlighted India’s growing role in semiconductor development, driven by government initiatives to boost domestic innovation. In July, Cyient announced plans to expand its semiconductor business by establishing a wholly owned subsidiary.
Azimuth AI’s founder and CEO, Praveen Yasarapu, said that the partnership will help Azimuth reach a broader customer base through Cyient’s networks, benefiting both companies.
India’s IT Services Market Reaches $14.5 Billion in 2023
India’s domestic IT services market grew by 6.1% year-over-year, reaching $14.5 billion in 2023, according to IDC’s recent report, IDC Market Analysis Perspective: India IT Services Market, 2024. While growth in IT investments was slower compared to previous years, IDC predicts that digital transformation, alongside the growing complexity of IT environments, will drive future market expansion.
Neha Gupta, Senior Research Manager at IDC India, noted that 2024 will emphasize growth driven by digital transformation. The increasing complexity of IT ecosystems, heightened demand for AI and GenAI solutions, stronger security measures, and automation will propel the market forward, she added.
India Launches Agri-Biotech Complex to Accelerate Lab-to-Market Solutions
India’s Science and Technology Minister Jitendra Singh inaugurated a new agri-biotech complex at the BRIC-National Agri-Food Bio-Manufacturing Institute in Mohali on October 28. The institute, formed through the strategic merger of NABI and CIAB, will support the agri-food sector by enabling pilot-scale production and advancing biomanufacturing solutions from research to commercialization, according to a government press release.
Sierra Technologies’ Valuation Soars to $4.5 Billion After New Funding
Sierra Technologies, co-founded by OpenAI Chairman Bret Taylor and former Alphabet executive Clay Bavor, raised $175 million, bringing its valuation to $4.5 billion. This marks a substantial increase from its previous valuation of nearly $1 billion earlier this year. Greenoaks Capital Partners led the funding round with support from Thrive Capital, Iconiq Capital, and existing investors.
Taylor commented to CNBC that while the funding environment is “frothy,” AI’s potential justifies the current investments, likening top companies to tech giants from the dot-com era but cautioning against industry hype. Sierra develops AI-driven customer service tools for clients like ADT Inc. and Casper Sleep Inc.
Neysa Raises $30 Million Series A to Expand AI Infrastructure
Mumbai-based AI infrastructure provider Neysa raised $30 million in a Series A round co-led by NTTVC, Z47 (formerly Matrix Partners India), and Nexus Venture Partners. Neysa’s flagship platform, Neysa Velocis, launched in July 2024, provides on-demand access to high-performance computing for sectors like AI-native businesses, media, software vendors, and the public sector.
The funding will support Neysa in expanding its AI infrastructure, advancing R&D, and preparing for the launch of its integrated Gen AI Acceleration Cloud Service.
