Synopsis
Cyient Semiconductors' acquisition of Kinetic Technologies will give the company a chance to go after the data center market, especially around power, the company's top executive told ET.Cyient Semiconductors on Wednesday announced the successful close of its $85 million majority‑stake investment in Kinetic Technologies, a global power semiconductor solutions provider.
"For data centers specifically, just the power consumption has been tremendously high," Suman Narayan, CEO of Cyient Semiconductors told ET. "If you look at power controllers and power FETs, that's the direction we're going into. We're moving into more integrated solutions for the data center to optimise power efficiency. When you go all the way from the grid down to the chip, you can end up losing 20% of efficiency. The goal is to bring the efficiency back up and to save power for the data center market."
A Power Field-Effect Transistor (Power FET) is a semiconductor device designed to handle high-voltage and high-current applications, acting as an efficient switch or amplifier.
Kinetic Technologies joins Cyient Semiconductors as a revenue‑generating global custom and Application-Specific-Standard-Product (ASSP) company, with more than 100 silicon‑proven IPs and over 250 high‑volume custom and ASSPs across power management, protection, display power, and interface solutions – adding immediate product scale, IP depth and market credibility.
He said the investment marks a major step in Cyient Semiconductors’ ambition to establish a scaled semiconductor platform anchored in India and serving global markets. It also reflects a broader strategic shift toward building a differentiated, custom silicon and ASSP-led semiconductor platform aligned with long-term structural demand in power and compute infrastructure, addressing a $44 billion global market opportunity. Narayan added that the focus will be to build and help Kinetic Technologies grow into the India market.
The combined platform strengthens Kinetic Technologies’ ability to support global customers with broader design resources and enhanced operational capabilities, while giving Cyient Semiconductors access to Kinetic’s established customer footprint—delivering immediate commercial scale in high‑growth power semiconductor markets.
Kinetic Technologies will continue to operate under its current leadership, with strategic oversight from Cyient Semiconductors. Its engineering and customer teams will maintain continuity while leveraging the combined platform’s expanded global presence and increased investments in R&D.
"We will continue to infuse cash to help, build R&D and develop more custom ASSPs," Narayan said. "The engineering talent we have in India will help scale this optionality for them as well. We'll bring the scale and access to some of the India market, engineering scale and access to India market, while we continue to double down our investments in the product roadmap for ASSPs."
