DEEPX is a South Korean on-device AI chip (NPU, or neural processing unit) startup that makes {hardware} and software program for varied AI purposes in digital gadgets. The corporate introduced this week that it has raised $80 million (KRW 108.5 billion) in a Collection C spherical at a valuation of $529 million (KRW 723 billion), which has surged greater than eight instances from its Collection B funding, about $15 million, in 2021.
The Collection C funding, which brings its whole increase to round $95 million, will go towards mass manufacturing of the startup’s inaugural merchandise — DX-V1, DX-V3, DX-M1 and DX-H1 — in late 2024 for international distribution. The startup may even use the brand new capital to expedite creating and launching its subsequent era of huge language mannequin (LLM) on-device options.
DEEPX was based in 2018 by CEO Lokwon Kim, who beforehand labored at Apple, Cisco Methods, the IBM Thomas J. Watson Analysis Middle and Broadcom.
The market dimension of worldwide edge AI, additionally referred to as on-device AI, is projected to achieve $107.47 billion by 2029, up from $11.98 billion in 2021, in accordance to a latest report. “The on-device AI market, excluding edge servers, requires AI capabilities to be carried out, bypassing servers or the cloud,” Kim instructed TechCrunch. “The [on-device AI market] is increasing as a consequence of laptop imaginative and prescient capabilities like facial and voice recognition, sensible mobility, robotics, the web of issues and bodily safety programs.”
Kim mentioned that if its mass manufacturing begins this yr, potential prospects akin to end-product producers will have the ability to commercialize their merchandise with DEEPX’s AI chips in 2025.
DEEPX, which has round 65 staff, will not be the one firm that has developed AI chip options. The Korean outfit competes with Hailo, which landed a $120 million funding spherical final month; SiMa.ai, which closed on $70 million, additionally in April; and Axelera, a Belgium-based AI chip startup that secured $27 million in 2022.
Kim mentioned that his firm’s differentiators embody price effectivity, power consumption effectivity and All-in-4 AI Whole Answer, a complete answer for varied AI purposes. Its All-in-4 AI options embody: DX-V1 and DX-V3, designed for imaginative and prescient programs in dwelling home equipment, surveillance digital camera programs, robotic imaginative and prescient and drones; in addition to DX-M1 and DX-H1, that are designed for AI computing bins, AI servers, sensible factories and AI booster chips. DEEPX now has greater than 259 patents pending within the U.S., China and South Korea, Kim mentioned.
“Nvidia’s GPGPU-based options are essentially the most cost-effective for giant language mannequin companies like ChatGPT; the entire energy consumed by GPUs working has reached ranges exceed {the electrical} power of a complete nation,” Kim mentioned. “This collaborative operation know-how between server-scale AI and on-device massive AI fashions are anticipated to cut back power consumption and prices rather a lot in comparison with relying solely on knowledge facilities.”
The startup doesn’t have prospects but however is collaborating with greater than 100 potential purchasers and strategic companions, akin to Hyundai Kia Motors Robotics Lab and Korean IT firm POSCO DX, to check DEEPX’s AI chip capabilities.
SkyLake Fairness Companions, a South Korea-based technology-focused non-public fairness agency, led the most recent funding, with participation from BNW Investments, a Korean non-public fairness agency based by the previous president of Samsung LED and Samsung Electronics’ reminiscence chip unit. AJU IB and former backer Timefolio Asset Administration additionally participated on this spherical.
