India, despite being home to 20% of the world’s chip designers, has not had a significant presence in the global semiconductor market. However, recent developments show promise as the Indian government has started investing in efforts to establish the country as a player in semiconductors. This initiative is in response to companies worldwide adopting a “China-plus-one” strategy, seeking alternatives to China.
Introduction of BigEndian Semiconductors
BigEndian Semiconductors is a new player in the semiconductor market, based in Bengaluru. The fabless design startup, founded in May, is led by CEO Sunil Kumar, a former executive at ARM Broadcom, and Intel. The founding team brings in experience from reputable chipmakers like Broadcom and Cypress Semiconductors. According to Kumar, the decision to establish BigEndian came about after recognizing significant domestic consumption in India, alongside incentives from the Indian government and the drive from customers to find alternatives to China.
BigEndian Semiconductors aims to capitalize on the current market shift by developing surveillance chips for cameras. The startup plans to work with Taiwanese fab company UMC to produce surveillance chips based on a 28nm node process. These chips are expected to be ready for production by the first quarter of 2025. In addition to surveillance chips, BigEndian intends to expand its presence in the IoT market, primarily focusing on 16- and 32-bit microcontrollers.
Unlike traditional fabless semiconductor companies, BigEndian is working on building a platform-as-a-service model to offer software solutions that help manufacturers and customers customize their surveillance cameras. This approach aims to assist governments in avoiding Chinese middleware access, commonly found in existing surveillance solutions. By providing customization options as add-ons through a subscription model, the startup plans to generate revenue and grow its presence in the market significantly.
Funding and Support
To kick off its operations, BigEndian has raised $3 million in an all-equity seed round led by Vertex Ventures SEA and India. While this initial funding may not be sufficient for mass production, Kumar acknowledges the support received from the Indian government’s incentives to the industry. He believes that these incentives provide BigEndian with significant advantages and make it comparable to raising $5 million in funding. Additionally, strategic investments from key players, including Amitabh Nagpal from Amazon Web Services, are expected to help the startup secure larger funding in future rounds.
Market Expansion Plans
BigEndian does not intend to limit itself to the Indian market alone. The startup plans to target a wide range of middle to lower-end cameras globally with its surveillance chips. The objective is to establish BigEndian as a reliable provider of semiconductor solutions, starting from the grassroots level and gradually moving up the market chain. Kumar envisions building a reputation for the company as a silicon manufacturer from India that can compete on a global scale.
BigEndian Semiconductors represents a promising new entrant in India’s semiconductor market. With a focus on surveillance chips, innovative business models, and strategic partnerships, the startup is well-positioned to make a significant impact in the industry. As the global demand for semiconductor alternatives to China continues to rise, BigEndian’s efforts to establish itself as a reliable player in the market are likely to be met with success.