SiMa.ai has raised $150 million in Series C funding at a $1.45 billion valuation, bringing its total capital raised to $500 million as the semiconductor and software company expands its focus on artificial intelligence for robots, autonomous vehicles and drones.
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. New investors include AllianceBernstein, Baron Capital, J.P. Morgan and the State of Michigan.
Physical AI Market Expands
The funding comes as Physical AI—systems that enable machines to perceive, process and act in the physical world—moves toward broader commercial deployment. Counterpoint Research projects cumulative shipments of Physical AI devices, including vehicles, robots and drones, to reach 145 million units by 2035.
SiMa.ai is positioning its platform as an alternative to conventional data-center GPUs for power- and space-constrained edge systems. Its offering combines purpose-built silicon with software designed to accelerate the development and deployment of AI applications on physical devices.
New Silicon and Software Platform
The company said part of the new capital will be used to scale Palette Neat, its agentic software environment for Physical AI. It will also fund development of next-generation silicon targeting up to 1,000 dense tera operations per second (TOPS) of compute.
The next-generation hardware is planned for the first half of 2028 and is expected to include machine-learning intellectual property, chiplets and system-on-chip products. SiMa.ai plans to target applications spanning medium- to high-end drones, humanoid robotics, automotive advanced driver assistance systems (ADAS) and AI-enabled vehicle cockpits.
The company said customers using its current platform will be able to migrate their applications to future product generations.
Revenue Growth and Commercial Expansion
SiMa.ai also pointed to growing commercial activity behind the latest financing. According to the company, revenue growth quadrupled year over year between 2024 and 2025, with momentum continuing into 2026.
Its customer and partner network includes Bosch, Emerson, Micron Technology (NASDAQ: MU), Synopsys (NASDAQ: SNPS), TRUMPF, Kontron, L&T Technology Services (NSE: LTTS), AVerMedia, ARK Electronics, STIGA, Intrinsic and Virya Autonomous Technologies.
Founder and CEO Krishna Rangasayee said the financing would support the company’s expansion of its purpose-built Physical AI platform across humanoids, automotive and drones.
