iVP Semi to Set up a Fabless Chip Company in India

• Has secured $5m in pre-series A funding

• Plans to set up a production test facility in Chennai and in one other location in South India

• Aims to drive revenue of $70m - $100m in the next 3 to 4 years

Building on his pioneering work in semiconductor engineering space, Raja Manickam has launched iVP Semi, a fabless semiconductor startup focused on empowering Indian system companies through localized chip production. iVP Semi aims to drive innovation and development locally with strong system design competence to help chip manufacturers and suppliers, enabling Indian companies to compete both in India and globally. The company has secured $5M in pre- Series A funding to build India presence, scale operations, set up testing facilities and activate marketing initiatives.

S. Krishnan, Secretary, MeitY and Raja Manickam, Founder & CEO, iVP Semi at the launch of iVP Semi in Chennai

As part of this strategy, iVP Semi is setting up chip design centers in Chennai and Bangalore as well as licensing product IP from Taiwan, Japan and the US. While being an asset-lite fabless company, chip and module testing will be done internally. iVP Semi is working with the State Government of Tamil Nadu to set up a production test facility of 20,000 sq. ft. in Chennai. The second test facility will come up shortly in one other location in South India. The Chennai facility will be fully operational by October 2024, and will be equipped with in-house capabilities from design to testing, ensuring high quality products along with exceptional post-delivery support. It will also feature discreet and power modules testing along with reliability and safety certification centers to reduce time to market for iVP Semi customers. Through its operations in India iVP Semi will predominantly service the local Renewables, EV, and Automotive industries. The company aims to achieve a revenue of $70 million- $100 million in the next two to three years.

Commenting on the launch of iVP Semi, Raja Manickam, Founder & CEO, iVP Semi, said "As a startup, iVP Semi recognizes the challenges faced by Indian semiconductor startups that aimed for the global market from the outset. Many struggled to survive due to the time and financial resources required to compete with established giants. Hence, our mission is to localize semiconductor chip production, empowering Indian companies to improve product development cycles and achieve greater technological autonomy. This approach not only ensures tighter control over the chip supply chain but also fosters an environment where semiconductor ecosystem partners are encouraged to establish a local presence. We envision a ripple effect where technology solutions developed by Indian companies will address global challenges, benefiting everyone."

On this occasion, S. Krishnan, Secretary, Ministry of Electronics and Information Technology (MeitY), Government of India, said, "The semiconductor industry is vital for the country and India has the talent, deep expertise and scalability to be a global player. The Government is helping industries to create the ecosystem to build semiconductors. iVP Semi plays an important role in creating demand to fill up the manufacturing capacity in wafer fab and OSAT. I would like to congratulate iVP Semi on the creation of an Indian fabless chip company."

Earlier this year, McKinsey predicted that the global semiconductor industry is poised for a decade of growth and is projected to become a trillion-dollar industry by 2030 while India Electronics and Semiconductor Association (IESA) estimates the India to grow to a $100 billion market by 2030. India is rapidly becoming one of the biggest markets for electronics, automotive, specifically EVs and a significant hub for technical expertise, highlighting the necessity to enhance the Indian ecosystem. However, challenges such as complexity in manufacturing, dominant global players holding a significant market share, lack of production grade technology, high capital costs and so on still persist, hindering India's journey towards self-sufficiency.

About Raja Manickam
Raja Manickam, Founder of Tessolve, brings over 40 years of expertise in semiconductor engineering and building startups. Under his leadership, Tessolve recently announced becoming a 1000 crore company. With a unique blend of experience with industry giants like Texas Instruments, National Semiconductor and Tata Electronics OSAT to startups like STATS, UTAC and Ponni Tech Consulting, Raja has hands on experience in running P&L, manufacturing, sales and marketing and pioneered methodologies to increase efficiency and reduce time to market.

About iVP Semi
Raja Manickam, a veteran in the semiconductor engineering space recently founded iVP Semi. It is a fabless semiconductor startup dedicated to serving the Indian market with unparalleled focus and innovation. With a strong system design competence, iVP Semi empowers Indian companies to compete both locally and globally. Driven by a mission to democratize semiconductor manufacturing, iVP Semi is building robust, cost-effective solutions for sectors including Solar/Renewable Energy, Electric Vehicles, and more. iVP Semi guarantees supply chain efficiency and stringent quality controls. Every iVP Semi chip undergoes rigorous testing in India, ensuring top-tier performance and reliability. Headquartered in Chennai, with additional offices in Singapore, Taiwan, and the US, iVP Semi is poised to make a significant impact on the global semiconductor industry.