Blue Cloud Softech Signs USD 150 Million Technology Transfer Pact with Israeli Firm to Develop Edge-AI Chips in India

Blue Cloud Softech Solutions Limited (BSE: 539607), a leading provider of AI-driven enterprise and cybersecurity solutions, has announced the signing of a USD 150 million Technology Ownership Transfer (ToT) agreement with an Israel-based semiconductor design company. The collaboration aims to co-develop Edge-AI chip hardware and establish semiconductor manufacturing capabilities in India.

 

The five-year agreement includes strategic investments by Blue Cloud Softech Solutions Limited (BCSSL) to cover technology integration, product development, and manufacturing setup, along with revenue-sharing provisions for the Israeli partner’s hardware design transfer and intellectual property rights.

 

Under the terms of the agreement, the Israeli company will provide the core hardware architecture and reference design, while BCSSL will develop and own the complete software stack, including firmware, AI middleware, and application frameworks. This ensures full technology ownership and IP control within India, aligning with the Government of India’s Aatma Nirbhar Bharat (Self-Reliant India) initiative.

 

BCSSL is also in advanced talks with domestic semiconductor manufacturers to fabricate the chips locally, ensuring end-to-end indigenous production. The company stated that the new Edge-AI platform will support its existing USD 15 million collaboration with Byte Eclipse for Oil & Gas applications and future projects across defense, energy, and industrial AIoT domains.

 

Edge-AI Chip: Technical Highlights
 

The new Edge-AI semiconductor platform is designed for high-performance industrial and defense-grade computing, supporting real-time data intelligence at the edge.
 
Key features include:

  • Architecture: Multi-core hybrid SoC integrating ARM Cortex-A processors and vector DSP cores.
  • AI Engine: Neural Processing Unit (NPU) delivering up to 32 TOPS for deep learning inference.
  • Memory: LPDDR5/DDR5 controller supporting up to 68 GB/s throughput.
  • Connectivity: Dual 10G Ethernet, 5G NR, Wi-Fi 6E, and TSN for low-latency communication.
  • Security: AES-256 encryption, TPM 2.0, secure boot, and firmware integrity monitoring.
  • Power Efficiency: <10W TDP optimized for edge and remote environments.
  • Environmental Hardening: MIL-grade ruggedization for -40°C to +105°C operation.
  • Compatibility: Native support for SCADA, PLC, and industrial robotics systems.

 

This chip will form the backbone of BCSSL’s Edge-AI ecosystem, enabling faster decision-making, reduced latency, and enhanced data sovereignty — critical for autonomous industry and defense applications.

 

Janaki Yarlagadda, Chairman of BCSSL, said:
 

“The signing of this USD 150 million ToT with our Israel-based partner is a defining moment in BCSSL’s journey toward building India’s sovereign semiconductor capability. By combining Israel’s excellence in chip design with BCSSL’s leadership in AI software, we are creating a world-class Edge-AI platform that supports industrial, defense, and infrastructure innovation globally.”

 

The Israel-based partner is recognized for its expertise in AI accelerator designs and edge computing architectures, catering to automation, communication, and defense sectors.