MIT spinout Vertical Semiconductor raises $11m for AI power-chip tech

Vertical Semiconductor, a U.S. startup spun out of MIT, secured $11 million in a seed funding round to commercialise chip technology that delivers power more efficiently to AI servers. The firm says its innovation reduces power distribution losses inside data-centre racks and could lower operating costs for high-density AI clusters. Investors backing the round include early-stage VCs focused on semiconductor and datacentre hardware. Vertical plans to use funds to finalise prototypes and initiate partnerships with server OEMs for pilot deployments.