Cognichip, a semiconductor startup focused on artificial intelligence-driven chip development, has raised $60 million in fresh funding to scale its AI-powered design platform, as competition intensifies in the global AI hardware market.
The funding round was led by Seligman Ventures, with participation from other industry investors, bringing the company’s total funding to approximately $93 million since its launch in 2024.
The company is developing a physics-informed AI model designed to automate complex stages of semiconductor design, a process that traditionally requires years of engineering effort and significant financial investment.
Cognichip said its technology aims to reduce chip development costs by more than 75 per cent and shorten production timelines by over 50 per cent, although these projections have not yet been independently verified.
The investment comes amid growing demand for advanced chips capable of supporting artificial intelligence workloads, as software innovation continues to outpace hardware development cycles.
As part of the latest funding round, Lip-Bu Tan, chief executive of Intel, is set to join Cognichip’s board, highlighting increasing interest from established semiconductor leaders in AI-assisted chip design.
Cognichip has been working with undisclosed partners since late 2025, but has yet to announce commercial deployments or a fully AI-designed chip in production.
Industry stakeholders say the company’s approach reflects a broader shift towards applying artificial intelligence not only to software but also to the underlying hardware systems that power it.
However, analysts note that the company will need to demonstrate the reliability of its AI-driven design tools in real-world manufacturing environments, where precision and performance are critical.
The latest funding underscores continued investor confidence in AI-driven semiconductor innovation, as companies seek to overcome bottlenecks in chip development and meet rising global demand for AI infrastructure.
Read:
- South Korea’s AI Chip Startup Rebellions Raises $400
- NVIDIA Forecasts a $1 Trillion AI Chip Opportunity
AI Writer
Bio: Joseph Michael is an MBA graduate in Marketing from Ladoke Akintola University of Technology and a passionate tech enthusiast. As a professional writer and author at AIbase.ng, he simplifies complex AI concepts, explores digital innovation, and creates practical guides for Nigerian learners and businesses. With a background in marketing and brand communication, Joseph brings clarity, insight, and real-world relevance to every article he writes.