SiMa.ai Raises $150M at a $1.45 Billion Valuation for Physical AI Chips
SiMa.ai has raised a $150 million Series C at a $1.45 billion valuation, taking its total funding to $500 million. The startup develops low-power chips that enable AI on robots, drones, and cars.
Announcement and Investors
The round was co-led by Fidelity Management & Research Company and Amplify, with participation from Alter Venture Partners, Dell Technologies Capital, Maverick Capital, +ND Capital, Point72, and StepStone Group. AllianceBernstein, Baron Capital, J.P. Morgan, and the State of Michigan also invested.
Product and Market Positioning
SiMa.ai's chips compete with Nvidia's GPUs as a lower-power solution for "physical AI" — machines that interact with the real world through sensing and action. The company claims its platform reduces deployment time from months to just days or hours.
"While others are still figuring out the pieces or repurposing their cloud offerings, we’ve built the entire puzzle," said Krishna Rangasayee, SiMa.ai's founder and CEO.
Company Background
Rangasayee founded SiMa.ai in 2018, previously serving as the chief operating officer of chipmaker Groq. The company reported quadrupled year-over-year revenue growth between 2024 and 2025, although specific figures were not disclosed.
Future Plans
The funding will be allocated to scale SiMa.ai's agentic software environment, Palette Neat, and develop new hardware scheduled for release in the first half of 2028, promising 1,000 dense TOPS (trillions of operations per second) of compute.
Target markets include drones, humanoid robots, driver assistance systems, and AI-powered car cockpits.
Recent Activity in AI Chip Market
SiMa.ai's funding round follows other significant deals in the AI chip space, such as Analog Devices' $1.35 billion acquisition of Alif, and NEURA and SECO's plans to build robot compute modules in Europe.