China's Orbita Seeks to Raise USD244.8 Million for Next Generation AI Chips
Tang Shihua
DATE:  Mar 09 2020
/ SOURCE:  yicai
China's Orbita Seeks to Raise USD244.8 Million for Next Generation AI Chips China's Orbita Seeks to Raise USD244.8 Million for Next Generation AI Chips

(Yicai Global) March 9 -- Chinese chipmaker Zhuhai Orbita Aerospace Science & Technology plans to raise CNY1.7 billion (USD244.8 million) through a private placement to fund three artificial intelligence chip projects as well as replenish working capital.

Orbita is looking to develop a new generation of high-performance AI chips code-named Yulong for use in the aerospace, intelligent security, robotics, AI Internet of Things, smart manufacturing, smart transport and other areas, the Zhuhai-based company said today.

The deep learning accelerator chip will be highly reliable, use low power, and speed up AI applications, especially in artificial neural networks, machine vision and machine learning with a focus on front-end imaging processing, signal processing and smart control, the Orbita said.

It will take three years to develop and industrialize the chip at a cost of about CNY697.9 million (USD100.7 million), CNY597.5 million of which will come from the private placement.

Once completed, the next step will be to start developing typical application scenarios. The firm will partner with chip solution providers to roll out much-needed software and hardware for industrial applications and launch the Yulong chip onto the market.

Another CNY400 million of the capital raised will be used to develop a reliable data storage chip for use in the aviation, aerospace and defense industries, the firm said. A further CNY300 million will go into research and development of AI detection devices and smart drainage management and control. Both projects are expected to take around three years.

Orbita's stock price [SHE:300053] fell 1 percent today to CNY13.02 (USD1.88). The Shenzhen stock exchange's Nasdaq-style ChiNext board dropped 4.55 percent, affected by heightened volatility on global stock markets.

Editor: Kim Taylor

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Keywords:   Private Placement,AI