Indian Deeptech Innovator CIMware Raises $2.3M to Transform Data Center Technology

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CIMware, an innovative deeptech startup from Bengaluru, has successfully raised $2.3 million in a pre-Series A funding round, marking its first institutional capital infusion. The round was led by climate-focused investor Transition VC, reflecting growing investor confidence in CIMware’s vision to transform data center architecture globally.

Pioneering Composable Infrastructure Module (CIM) for Next-Gen Data Centers

Founded in 2022 by Rajiv Ganth, a seasoned expert with decades of experience in distributed systems and hyperscale infrastructure, CIMware is developing a patented Composable Infrastructure Module (CIM). This smart switching device uniquely integrates compute, storage, and networking into a single rack-level unit, enabling modular deployment and significantly improving energy efficiency.

Unlike traditional server-centric designs, CIMware’s technology uses memory as the interconnect backbone, allowing CPUs across servers to communicate with minimal latency and energy consumption. This innovation is particularly tailored for AI, machine learning, social media, and video streaming workloads, which demand high data throughput and low power usage.

Addressing Critical Challenges in Data Center Operations

Today’s data centers face severe constraints related to power consumption, physical space, and outdated infrastructure. CIMware’s solution aims to reduce total cost of ownership by up to 80% and cut carbon footprints, making it a sustainable choice for public, private, and edge cloud environments.

Shoeb Ali, cofounder and managing partner of Transition VC, highlighted the urgency of innovation in this sector:

“Data centres have become increasingly power and energy hungry due to the rising demand for artificial intelligence and data-intensive applications. They face challenges related to physical space, power supply, and outdated infrastructure.”

Strategic Use of Funds and Growth Plans

The $2.3 million funding will accelerate CIMware’s hardware production, expand its software engineering team, and support operational expenses. The startup plans to complete an initial production batch of 20 CIM units by December 2025, with a target to scale up to 80–100 units initially and eventually manufacture thousands based on market demand.

Expanding Market Reach: India and Global Ambitions

CIMware’s go-to-market strategy involves direct sales in India and North America, white-labeled deployments in Southeast Asia, and affiliate partnerships in Europe. The company is actively engaging with data centers in South Korea, the US, and the UK for pilot rollouts, focusing on AI-centric data centers, telecom networks, and enterprise cloud systems.

The startup aims for a revenue milestone of $175 million by fiscal year 2026–27 and envisions an IPO within the next five to six years, positioning itself as a significant player in the global data center infrastructure market.

Government Support and Industry Recognition

CIMware has also benefited from government grants, receiving approximately INR 1.5 crore from India’s Department of Telecommunications to support its R&D and pilot deployments. This endorsement underscores the startup’s potential to contribute to India’s growing AI and cloud infrastructure ecosystem.

Founder’s Vision and Industry Impact

Rajiv Ganth, CIMware’s founder and CEO, brings extensive expertise from leadership roles at CloudSimple India (acquired by Google), Intel, EMC, and other tech giants. His vision is to redefine data center architecture by making it more modular, energy-efficient, and scalable, addressing the pressing needs of modern cloud and AI workloads.

Why CIMware’s Innovation Matters for India and Beyond

  • Energy Efficiency: Up to 80% reduction in energy consumption compared to traditional data centers.

  • Cost Savings: Potential to lower capital expenditure by 66%, making advanced infrastructure more accessible.

  • Modular Design: Enables flexible upgrades and rapid deployment tailored to diverse workloads.

  • Global Reach: Targeting major tech markets including the US, UK, Japan, and South Korea.

  • Sustainability: Aligns with global trends toward greener, more sustainable IT infrastructure.

As India accelerates its AI and cloud infrastructure ambitions, startups like CIMware are poised to play a pivotal role in shaping the future of data centers — making them smarter, greener, and more cost-effective.

In summary, CIMware’s recent funding milestone and innovative technology position it as a promising deeptech startup ready to disrupt the data center industry with scalable, energy-efficient solutions tailored for the AI era.