Point2 Technology fundingImage Credit: Unsplash

Point2 Technology, a pioneer in ultra-low-power, low-latency mixed-signal System-on-Chip (SoC) solutions for multi-terabit interconnect, proudly announces a Series B extension of $22.6 million. The funding round was spearheaded by Bosch Ventures and Molex, with significant participation from other strategic investors.

This substantial injection of capital comes at a pivotal juncture for Point2 as the demand for its groundbreaking technology gains momentum in AI/ML data center applications. Simultaneously, Point2 is poised to revolutionize network interconnect across the expansive automotive sector. The Series B extension is anticipated to strengthen Point2’s position as a disruptive force in both the data center and automotive markets.

The funding round was led by Bosch Ventures, the global leader in deep tech investments, and Molex, a prominent electronics and connectivity innovator. Other strategic investors also joined this extension, emphasizing the industry’s recognition of Point2’s innovative solutions.

The investment aligns with a significant surge in AI infrastructure, as highlighted in a recent report by Dell’Oro Group, projecting a 15% increase in data center capital expenditure (capex) to reach $500 billion by 2027. This growth is driven by a 50% expected expansion in the data center switch market, where Point2’s interconnect chips are poised to redefine connectivity, boosting the demand for interconnect silicon by 50%.

Point2’s strategic partnership with Molex centers around commercializing its E-Tube technology, a scalable interconnect platform utilizing RF data transmission over a plastic dielectric waveguide. This innovation enables multi-terabit active cables with 80% lower weight and 50% less bulk than traditional copper cables. E-Tube is set to disrupt the high-speed cable interconnect landscape by reducing power consumption and costs by 50%, with picosecond latencies three orders of magnitude better than optical cables.

Sean Park, Point2’s Founder and CEO, expressed enthusiasm about the collaboration with Bosch, stating, “Our collaboration with Bosch underlines the importance and high potential of Point2’s low-power, low-latency, scalable interconnect technologies in the expansive automotive sector and further amplifies our impact in connecting AI workloads for the growing data center market.”

Ingo Ramesohl, Managing Director of Bosch Ventures, highlighted the critical role of interconnect in high-performance and energy-efficient data centers and networked automotive applications. Ramesohl noted, “Point2’s unique interconnect SoC solutions deliver the high-bandwidth interconnect required in future data center and automotive sectors while addressing the critical need to reduce energy consumption and minimize the carbon footprint.”

Jairo Guerrero, VP and GM of the Copper Solutions business at Molex, added, “Escalating network capacity demand in future AI/ML data center and automotive use cases requires a new approach to cable interconnect. Point2 has developed an E-Tube platform that can scale to the connectivity requirements of data centers and future automotive network architectures.”

The infusion of funds comes at a time when generative AI and large language models, like ChatGPT, continue to transform industries, driving the demand for computing resources and network interconnect capacity in next-generation hyperscale data centers. Moreover, the adoption of network-centric architecture in advanced driver assistance systems (ADAS) in the automotive sector is propelling the need for low-power, low-latency, lightweight, and flexible interconnect for future automotive applications.

Point2 has gained recognition for its ultra-low-power, low-latency, cloud-optimized mixed-signal SoCs, specifically designed for active electrical cables (AECs). AECs built with Point2’s Cloud Connect Engines can consume 40% less power and be up to 40% less bulky than other AEC solutions.

Robert Bosch Venture Capital GmbH (Bosch Ventures), the corporate venture capital company of the Bosch Group, played a pivotal role in this funding round. Bosch Ventures invests worldwide in innovative start-up companies at all stages of their development, focusing on technology areas relevant to Bosch, such as automation and electrification, energy efficiency, enabling technologies, and healthcare systems.

Headquartered in California, United States, Point2 Technology designs and manufactures ultra-low power, low-latency, point-to-point interconnect and range enhancement SoC solutions purpose-built to meet the bandwidth requirements of hyperscale AI/ML data centers and 5G infrastructure. Founded by an accomplished team from Marvell, Finisar, and Samsung, Point2 is a leading innovator that is reimagining data center and 5G cloud infrastructure interconnect in the multi-terabit era.

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