Peak XV Leads $15M Funding in Indian Startup C2i to Revolutionize AI Data Center Power Efficiency

In a strategic move to tackle the mounting power challenges in AI data centers, Peak XV Partners has spearheaded a $15 million Series A round for Bengaluru-based C2i Semiconductors.

The two-year-old startup, founded by ex-Texas Instruments power experts including Ram Anant and Preetam Tadeparthy, targets inefficiencies in power delivery for large-scale AI infrastructure.

The Power Bottleneck Gripping AI Data Centers

Data center electricity demand is set to nearly triple by 2035, with power emerging as the new limiter beyond compute capacity.

Inefficient voltage conversions from high-voltage grids down to GPUs currently waste 15% to 20% of energy, exacerbating costs amid shifts to 800 volts and beyond.

C2i's Integrated Grid-to-GPU Innovation

C2i delivers plug-and-play power solutions that integrate silicon, packaging, and architecture for seamless end-to-end efficiency.

By redesigning power as a unified system, the technology slashes losses by around 10%, saving 100 kilowatts per megawatt consumed.

These gains lower cooling expenses, enhance GPU utilization, and improve overall data center profitability and total cost of ownership.

Backing from Key Investors and India's Semiconductor Surge

The round also drew participation from Yali Deeptech and TDK Ventures, pushing C2i's total funding to $19 million.

Peak XV's Rajan Anandan hailed the potential for 10-30% energy cost reductions, equating to tens of billions in industry savings.

India's maturing chip design ecosystem, bolstered by talent and incentives, positions startups like C2i for global impact, akin to early e-commerce booms.

Looking ahead, C2i anticipates silicon validation with hyperscalers in mid-2026, expanding teams and U.S.-Taiwan operations to drive deployments.