The latest investment values the company at $3.65 billion, with Chief Executive Officer Patrick Little indicating that the round is likely to be its final capital raise before pursuing an initial public offering, although no timeline was disclosed.
Unlike traditional semiconductor firms, SiFive does not manufacture chips. Instead, it develops processor blueprints that clients—including Alphabet—can customise for their own internal chip designs. This model has historically been dominated by Arm Holdings, which licenses its chip architecture to global tech companies.
However, Arm’s recent move into producing its own chips has shifted industry dynamics, potentially putting it in direct competition with some of its long-standing customers. Little said this development has created an opening for SiFive to attract new clients seeking alternatives.
Central to SiFive’s strategy is its use of RISC-V, an open-standard chip architecture governed by a nonprofit foundation rather than a single corporation. The approach offers companies greater flexibility and control compared to proprietary systems.
“There’s uncertainty about where traditional suppliers are headed,” Little said, noting that many customers are increasingly comfortable adopting RISC-V after years of development and collaboration.
The company plans to deploy the fresh funding toward building central processing unit (CPU) designs specifically for data centres—a segment witnessing intensifying competition. Alongside Arm’s new offerings, companies like Nvidia are expanding into the space, while Intel continues to face surging demand for its data centre chips.
Little described the move as a strategic push toward the “highest level” of the market, as SiFive aims to establish itself as a major player in next-generation computing infrastructure.
Other participants in the funding round include Apollo Global Management, D1 Capital Partners, Point72, and T. Rowe Price, alongside existing backers such as Prosperity7 Ventures, Capital Group, and Sutter Hill Ventures.