China 5G chip designer Eigencomm raises $157m

Existing investors such as Qiming Venture Partners, Fupu Fund, Qianhai Xingwang Investment, and China Universal Asset Management re-upped.

Founded in 2017, Eigencomm produces chips for internet-of-things (IoT) applications, such as smart meters, fire sensors, and shared bicycle tracking systems. The new capital will accelerate expansion into IoT communication chips for 5G networks. Such chips are generally costlier and consume more electricity than others. Eigencomm is focusing on less expensive power-saving chips.

Commercial development of 5G is gaining momentum. As of August 2021, more than 1m 5G base stations had been built in China, accounting for more than 70% of the global total, according to the Global Mobile Suppliers Association (GSA). The country's number of 5G terminal connections exceeds 400m, underlining the importance of IoT communication chips.

Eigencomm’s debut IoT chip became China's biggest seller by new market orders in its first year of release. Sales orders for January reached 4m units. The start-up claims that 80% of major domestic module manufacturers are its partners. It also cooperates with Qualcomm in overseas markets.

"Companies that can independently develop cellular mobile communication chips are extremely scarce in the world, and Eigencomm is an innovative company with core technologies and IP to license out for overseas manufacturers in this field," said Maoxiang Li, a partner of Cathay Capital.

Eigencomm raised a CNY 100m Series A led by Vertex Ventures China in 2019. It was followed by a Series B of undisclosed size in 2020 featuring Qiming, China Universal, China Merchants Capital Management, China V Fund, Vertex, Pudong Innotek Capital, Qianhai Xingwang Investment, Shenzhen Capital Group and Fiberhome Telecommunication, according to AVCJ Research.

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Save this article  
• Send to  

• Topics
• Greater China
• Expansion
• Technology
• China
• semiconductor
• Qiming Venture Partners
• Softbank
• Cathay Capital Private Equity
• Growth capital