Bengaluru-founded SiMa.ai raises $150 million

Krishna Rangasayee, Founder and CEO, SiMa.ai SiMa.ai, a physical AI company founded by Bengaluru-origin entrepreneur Krishna Rangasayee, has on Tuesday (September 29, 2026) raised $150 million in Series C financing, bringing the total capital raised to $500 million and valuing the company at $1.45 billion.The round was co-led by Fidelity Management & Research Company and Amplify, with participation from Alter Venture Partners, Dell Technologies Capital, and StepStone Group. AllianceBernstein, Baron Capital. J.P. Morgan has also joined the round as new investors.“Physical AI in humanoids, automotive, and drones is the gateway to a $50 trillion market that has remained largely untouched by modern innovation,” said Founder and CEO Krishna Rangasayee.While others were still figuring out the pieces or repurposing their cloud offerings, SiMa.ai built the entire puzzle, he added.“This investment will further catapult us into a dominant position, giving us the resources to scale our purpose-built platform and secure an undeniable lead in the Physical AI race,’’ Mr. Rangasayee added.The global market for Physical AI devices, including robotics, automotive, and drones, is set to explode with cumulative shipments projected to hit 145 million units by 2035, according to Counterpoint Research. This surge marked AI’s transition from software applications into tangible, real-world consumer and industrial hardware, creating one of the most lucrative and transformative market opportunities for the decade ahead, said SiMa.ai in a statement.While Physical AI has historically relied on expensive, complex, and power-hungry NVIDIA GPUs, SiMa.ai delivered the industry’s leading full-stack Physical AI platform combining purpose-built silicon and software to streamline deployments from months to days or hours, it claimed.The fresh capital raise would accelerate the scaling of Palette Neat, the industry’s first agentic software environment for Physical AI, and fund next-generation hardware that would deliver an unprecedented 1,000 TOPS of compute in purpose-built Physical AI silicon. Slated for H1 2028, the next-generation hardware offerings would include machine learning IP, chiplets, and SoCs, as SiMa.ai aggressively extends its footprint in medium to high-end drones, humanoid robotics, automotive advanced driver assistance systems (ADAS), and AI-powered cockpits, the firm further said. Published - September 29, 2026 03:42 pm IST