In a move to strengthen its engineering research and development (R&D) capabilities, Infosys, one of India’s leading IT services companies, announced its acquisition of InSemi, a prominent semiconductor design and embedded services provider. Valued at Rs 280 crore, this strategic investment allows Infosys to enhance its chip-to-cloud strategy by harnessing niche design skills at scale.
Semiconductors play a crucial role in driving exponential growth across various cutting-edge technologies, such as artificial intelligence (AI), 5G, hyperconnectivity, high-performance computing, quantum technology, virtual reality, and the Internet of Things (IoT). As companies race to develop the most powerful chips to leverage the AI boom and dominate the next tech frontier, the spotlight is on semiconductor innovation.
With this acquisition, Infosys aims to further its commitment to co-create with global clients and guide them through their digital transformation journey. By integrating InSemi’s extensive semiconductor design services, including expertise in electronic design, platform design, automation, embedded systems, and software technologies, Infosys can offer end-to-end solutions to its clientele across various industries, such as consumer electronics, automotive, and hi-tech.
Dinesh R, EVP & Co-Delivery Head at Infosys, remarked that the demand for next-generation semiconductor design services, combined with embedded systems, is on the rise due to the advent of AI, smart devices, 5G, electric vehicles, and more. The acquisition of InSemi positions Infosys as a leader in engineering R&D and enables the company to usher in a new wave of growth.
The third-quarter results shared by Infosys reveal a 7.3 percent year-on-year decline in net profit. However, the acquisition of InSemi signals a strategic move to accelerate Infosys’ chip-to-cloud strategy, strengthening its position in the highly competitive semiconductor market. By merging InSemi’s capabilities with its existing investments in AI/automation platforms and industry partnerships, Infosys demonstrates its intent to stay at the forefront of technological advancements and cater to its clients’ evolving needs.