BigEndian’s Founders Aim to Leverage Their Extensive Chip Expertise to Position India as a Key Player in the Semiconductor Industry

Despite hosting one fifth of the world’s semiconductor design talent, India’s footprint in the international semiconductor arena remains small. Nevertheless, the nation has seen a surge in governmental efforts to make a mark in the semiconductor domain, especially as businesses globally are exploring alternatives to China with a “China-plus-one” strategy.

BigEndian Semiconductors is seizing this opportunity by initiating the development of surveillance chips designed for camera systems.

Initiated in May, this startup based out of Bengaluru is spearheaded by Sunil Kumar, who has formerly held executive roles at ARM Broadcom and Intel, with the founding team bringing in expertise from their stints at companies such as Broadcom and Cypress Semiconductors.

In a conversation with TechCrunch, Kumar shared that the core team at BigEndian has been closely knit for over a quarter of a century. The motivation to start the enterprise stemmed from observing the vast domestic demand – approximately 50 million cameras annually, valued at around $4–$5 billion – coupled with incentives from the Indian government and a customer-driven quest for alternatives to Chinese products.

Kumar remarked, “If we don’t step up, the knowledge and expertise this generation holds will vanish. There’s no one else capable of managing the complete cycle as we can,” during the interview.

India has earmarked a budget of $9 billion to nurture local semiconductor and display manufacturing ventures. The approach of the Modi administration has green-lit four semiconductor facilities aimed at serving industries like automotive, consumer electronics, EVs, industrial sectors, and telecom. These installations are anticipated to draw in an investment of approximately $17.9 billion, with the capability to churn out roughly 70 million chips daily, according to governmental projections.

BigEndian, merely four months old, has set its sights on the creation of surveillance chips in collaboration with the Taiwanese fab company UMC. Its pioneer chip, employing a 28nm node process, is expected to debut in the first quarter of 2025. The startup is also planning to expand its operations and delve into the wider IoT market, which is predominantly dominated by 16- and 32-bit microcontrollers.

BigEndian differentiates itself from typical fabless semiconductor firms by developing a platform-as-a-service model. This innovative approach aims to prevent governments from relying on Chinese middleware, a commonality among current surveillance systems. The model will offer software solutions enabling manufacturers and consumers to tailor the functionality of their surveillance cameras. This strategy allows the startup to enhance its revenue streams by offering these customization options alongside subscriptions.

Kumar noted, “India annually utilizes around a billion of these chipsets. These generally cost between 50 cents to $1… The burgeoning automotive segment is starting to incorporate a lot of 32-bit controllers… However, diving into all these areas from the start is impractical due to the challenge of securing funding in India.”

To launch its journey, BigEndian successfully secured $3 million in an equity seed round, led by Vertex Ventures SEA and India. Although the initial funding might not suffice for a fabless semiconductor startup to undertake mass production, the incentives provided by the Indian government present considerable support to BigEndian, currently a team of 16, making it equivalent to “raising $5 million,” Kumar stated.

“Given the country’s limited history of semiconductor success, it’s incredibly challenging to raise funds at this stage. Had we been in the U.S., we might have managed to raise about $12 to $15 million. However, that’s not feasible here, so we must work within our means, presenting both challenges and barriers to entry for potential competitors,” he mentioned.

The investment round also saw contributions from strategic investors, including Amitabh Nagpal, who leads startup business development at Amazon Web Services. This support positions the startup to secure larger financial injections in future funding rounds.

BigEndian is set on not confining its market to India for its surveillance chips, which are intended for a broad spectrum of mid to low-end cameras.

Kumar’s strategy is clear, “Our goal is to establish a solid foundation, proving that a silicon venture originating from India can ascend the industry hierarchy, rather than trying to start from the top.”