Former Motorola Mobility Chief Sanjay Jha and founder of Walden International Lip- Bu Tan have invested in Hyderabad based semiconductor startup Ineda Systems, according to a report.
Both Jha and Lip Bu Tan are heavyweights in the industry. Jha was the former chairman and CEO of Motorola Mobility which was bought over by Google in 2011 for $12.5 bn. Tan, a board member of the startup, is the founder and Chairman of Walden International, a VC firm with $2 bn under management.
The company, is developing a chip specifically for wearable devices, the Times of India reported.
The startup, which develops System on a Chip (SOC) for mobile convergence devices has over 150 engineers working for it. It was founded in 2010 with offices in Hyderabad and Santa Clara by Balaji Kanigicherla, who headed a 500 member team for AMD before starting up. The company has also filed for over 20 patents.
Earlier this month, Economic Times had reported that Walden International is set to launch a $100 mn fund to invest in Indian startups in the semiconductor space. The fund has already identified four startups in Bangalore and Hyderabad, the report said.
According to a presentation by Indea last year, only about 15 startups in India receive series A funding annually and there is a gap that needs to be addressed.
With the Indian government recently approving 2 proposals to setup fab units in the country costing nearly Rs 25,000 cr investment, the sector is expected to see much action in the coming days.
India’s import bill on semiconductors at around $7 bn a year, is growing 22% annually. India’s IT hardware import bill is expected to reach $400 bn by 2020 and surpass its fuel import bill (Read: Why the Cabinet Approval for Semiconductor Fabs is a Big Deal)