Altair Semiconductor raised $50 million to accelerate its 5G IoT push as industries move toward AI-driven, always-on systems.
Altair Semiconductor has completed its spin-off from Sony Semiconductor Solutions Corporation, secured $50 million in initial funding led by Pitango Group, and will now operate as an independent company focused on IoT connectivity and 5G. Though Sony will still retain some stake in the company. The move is aimed at giving Altair more flexibility to scale its products and respond to demand in connected devices.
The separation tells us that Altair is shifting its strategy, as it has spent two decades building cellular IoT chipsets used in applications such as smart meters, logistics trackers and wearable devices.
Now, the company is going to prioritise low-power connectivity solutions that support large networks of devices communicating with cloud systems and each other.
Altair is positioning itself around devices that are expected to be always connected and increasingly integrated with AI-driven systems. Its existing LTE-M and NB-IoT chipsets are already deployed globally, particularly in energy grids and smart city infrastructure.
According to the company, its next step is a transition to 5G-based IoT. Its upcoming ALT1550 modem, currently in testing, is built on 5G eRedCap technology, which is a reduced-capability version of 5G designed for lower-cost, energy-efficient devices. Altair says this will allow long-life devices, such as meters and industrial sensors, to upgrade without significant redesign.
Altair said it will continue serving its existing global customers during the transition while expanding into new 5G IoT deployments.
“Sony believes in Altair’s technology leadership and its critical role in the IoT ecosystem. Operating as a standalone company will drive innovation and enable faster execution”, said Antonio Avitabile, Sony Group.
Eyal Niv, Managing Partner at Pitango, further adds, “We have known the Altair team for many years and are excited to partner with them. The current financing round will solidify Altair’s leadership position in IoT and accelerate even further the transition towards 5G eRedCap, riding the wave of Physical AI”.
