Kinara.AI, formerly known as Deep Vision, has been acquired by NXP Semiconductors, Europe’s third-largest semiconductor company, in a $37 million deal. The acquisition marks one of the most significant deep-tech mergers and acquisitions to emerge from India, further solidifying the country’s role in AI and semiconductor innovation.
Ravi Annavajjhala, CEO of Kinara.AI, stated that joining NXP will provide the company with expanded reach and resources, particularly through NXP’s extensive customer base. He explained that following regulatory approval, Kinara.AI would be integrated into NXP’s Secure Connected Edge business line, focusing on AI-driven solutions for industrial IoT applications. He emphasized that the deal positions Kinara.AI to scale its AI capabilities and bring new innovations to market.
Chinnu Kumar, Managing Partner at Xfinity Venture Partners, one of Kinara.AI’s key investors, described the acquisition as a validation of India’s deep-tech ecosystem. He stated that the transaction would return 40% of Xfinity’s fund and reach a DPI of one, marking a major milestone for venture capital investments in deep technology. He highlighted that Kinara.AI was identified as a promising deep-tech company nearly seven years ago and credited the company’s cost-effective R&D center in Hyderabad as a key factor in its success.
The deal arrives at a time when India’s AI and semiconductor sectors are seeing heightened investment and international interest. Annavajjhala noted that Kinara.AI has been actively involved in cutting-edge AI applications, including the development of large language and visual assistant models, which combine AI-driven video interpretation with real-time natural language processing. He emphasized that these innovations have wide-reaching implications for industrial safety, automotive infotainment, and AI-driven automation.
Kumar further stated that this acquisition signals India’s potential to develop and commercialize high-value AI and semiconductor solutions, attracting further investment into the sector. He expressed optimism that the deal would encourage more entrepreneurs and investors to focus on deep-tech startups, paving the way for India to become a global hub for semiconductor and AI-driven edge computing.