Australian startup raises $26M to tackle AI chip bottleneck

Syenta has raised $26 million to develop a new manufacturing technique aimed at easing one of the biggest constraints in artificial intelligence hardware: advanced chip packaging.

The funding round also brings high-profile backing, with former Intel CEO Pat Gelsinger joining Syenta’s board of directors, News.Az reports, citing Reuters.

The company said it plans to open a new office in Arizona, positioning itself close to major chip manufacturing hubs, including facilities operated by Intel and Taiwan Semiconductor Manufacturing Company.

Modern AI chips—like those developed by Nvidia and Google—rely heavily on advanced packaging, where multiple chips are combined into a single system. This process has become a major bottleneck due to its complexity and cost.

Syenta claims its new method significantly simplifies production by using an electrochemical “stamping” process to create copper connections, reducing manufacturing steps by around 40% and cutting production time from hours to minutes.

The approach could increase output and improve supply chain efficiency at a time when demand for AI chips continues to surge globally.

Backed by investors including Australia’s National Reconstruction Fund and venture firms such as Playground Global, Syenta aims to scale up production and reach high-volume manufacturing by 2028.

News.Az 

By Aysel Mammadzada