AI chip startups

Taiwan-based AI chip startup Kneron is preparing for an initial public offering while signalling plans to expand beyond its core semiconductor business, according to Bloomberg. The company, known for edge AI processors, is positioning itself as a broader AI technology player as it moves toward listing. The report is drawing attention from investors tracking the AI chip sector and its growing pipeline of public offerings.

Bloomberg News reports that Tenspresso, a chip startup only months old, is in talks for a funding round at a $500 million valuation. The news highlights how investor enthusiasm for semiconductor and AI-related hardware ventures is pushing extremely young companies to high valuations before they have shipped products or generated revenue.

Semiconductor maker onsemi is investing $600 million in Ferric, a startup working on power delivery technology for AI chips. The deal signals onsemi's push into the fast-growing market for powering energy-hungry AI data center processors, as chipmakers race to secure positions in the AI infrastructure supply chain.

Taiwan's surging AI-related stock market is making it harder for early-stage startups to attract investment, according to a report by Business Insider. As public markets offer investors easy exposure to AI through listed chip and tech companies, money is reportedly shifting away from unproven young firms, squeezing founders who need early funding. The trend highlights how a booming stock sector can crowd out venture capital appetite for riskier bets.

Tenspresso, a semiconductor startup founded just three months ago, is reportedly in talks to raise funding at a $500 million valuation, according to Fortune. The fast-rising valuation underscores continuing investor appetite for chip startups, particularly those working on specialized hardware amid the AI boom. Details about the company's technology, founders, and the size of the funding round have not yet been disclosed.

AMD and South Korean AI chip startup Moreh have released a simulation claiming that AI infrastructure built on their combined technology can generate roughly 60% margins on AI token production. The claim is a direct challenge to Nvidia, which dominates the AI accelerator market. The companies say the figures demonstrate a more cost-efficient alternative for serving large language models.

Nvidia and AMD are among the investors backing an AI startup valued at roughly $6 billion that is positioning itself as a rival to xAI's Grok chatbot. The dual backing from the two dominant chipmakers underscores how intensely they are courting promising AI labs and how crowded the race to compete with Elon Musk's xAI has become. Details on the startup's products and funding round remain limited, but the involvement of both chip giants is drawing attention across the tech and venture community.

FuriosaAI, a South Korean startup developing AI semiconductors, has reached a valuation of US$2.9bn as it accelerates work on its AI silicon. The company is drawing attention as demand surges for alternative chips in the artificial intelligence hardware market, where it is seen as part of a growing wave of Korean tech firms challenging global players.

Taiwan's surging AI-related stocks are changing the calculus for the island's startup scene. As public-market investors pour money into established AI and chip companies, early-stage startups are finding it harder to attract funding and attention, since backers can get AI exposure through listed stocks rather than risky new ventures. The trend is reshaping how founders pitch and what investors expect.

A roundup of the AI chip startup landscape for 2026 highlights the funding rounds, valuations and leading companies in the semiconductor sector. The sector continues to attract heavy investor interest as demand for specialized hardware for artificial intelligence grows. Specific companies and figures are not yet detailed.