Startup Funding: September 2022

The onshoring and buildout of dozens of fabs, many costing tens of billions of dollars, is beginning to spill over into other areas that are critical for chip manufacturing. Materials, in particular, which often gets little attention outside of chip manufacturing, witnessed a big spike in September 2022. In fact, seven materials companies covered in this report made up more than a third of the month's total reported investments, with three of the companies garnering more than $200 million. Other investment targets were sputtering equipment and evaporation materials for deposition, high-purity polycrystalline silicon, fluorine-containing electronic gases, and silicon carbide. In the AI hardware arena, numerous startups are focusing on in-memory and near-memory compute, reducing the volume of data that needs to be moved back and forth between memory and processing elements. Novel architectures also are appearing, such as one that uses sparse mathematics.