Synopsis:
IT stock signed a USD 150 million ( ~ Rs. 1300 crores) ToT agreement with an Israel firm to co-develop Edge-AI chips and build semiconductor manufacturing capability in India, gaining full tech and IP ownership aligned with Aatmanirbhar Bharat vision.
This company, a global provider of AI-driven enterprise, defense, and cybersecurity solutions, and actively engaged in AIoT, digital transformation, industrial automation, and edge computing is now at the center of attention after signing a Technology Ownership Transfer (ToT) agreement worth approx USD 150 million.
The shares of Blue Cloud Softech Solutions Ltd with a market capitalization of Rs. 1,437 cr are currently trading at Rs. 33 per share. In today’s market session, the shares have surged more than 13% and made a high of Rs.33.70 from its previous close of Rs. 33.70 per share.
News
Blue Cloud Softech Solutions Ltd has entered into a Technology Ownership Transfer (ToT) agreement worth approx USD 150 million (Rs. 1300 crores) with an Israel-based semiconductor technology company to jointly develop Edge-AI chip hardware and set up semiconductor manufacturing capability in India.
The 5 year plan is open to Blue Cloud for full technology ownership, IP rights & software stack control within India by integrating technology, R&D, product development, and manufacturing setup.
The Israeli partner will give the core chip architecture and reference hardware design, whereas Blue Cloud will develop the software layers system firmware, AI middleware, and application frameworks leading to complete sovereign silicon and software control. This move is in line with India’s Aatma Nirbhar Bharat vision and puts BCSSL at the core of India’s semi stack roadmap strategically.
Blue Cloud is also negotiating with top Indian semiconductor producers for local fabrication in India to ensure complete domestic production. Besides, this design platform will be leveraged for the USD 15 million partnership with Byte Eclipse for Oil & Gas Edge AI chip integration which has been announced earlier.
The EdgeAI chip is Industrial AIoT targeted, energy, infra, defense, and autonomous industrial systems features multitasking ARM and DSP SoC architecture, integrated NPU up to 32 TOPS, LPDDR5/DDR5 support, 5G NR / WiFi 6E / Dual 10G Ethernet, MIL grade spec, TPM 2.0 security, AI perimeter defense, and ultra low power <10W.
About the Israel Technology Partner
The partner is an Israel-based leading semiconductor design company that specializes in the creation of edge-computing architectures and AI accelerator designs. The company has a great success in the delivery of ASIC (Application-Specific Integrated Circuit) and energy-conserving embedded hardware solutions for automation, communication, and defense sectors.
About the company
Established in 1991, Blue Cloud Softech Solutions Limited (BCSSL) is a globally recognized provider of AI-driven enterprise, defense, and cybersecurity solutions. The company is actively engaged in AIoT, digital transformation, industrial automation, and edge computing. With operations in India, the United States, the United Kingdom, the UAE, Israel, France, Singapore, and Tanzania, BCSSL keeps on innovating the mission-critical industries by investing in AI-based systems, secure computing, and indigenous technology development.
The company is delivering extremely strong return metrics with ROCE at 37.1% and ROE at 44.5%, indicating highly efficient capital deployment and strong profitability on shareholder equity.
The sales of the company grew from Rs. 184 cr in Q4FY25 to Rs. 206 cr in Q1FY26. Operating profit rose to Rs. 21 cr from Rs. 17 cr. Net profit is almost flat at Rs. 14 cr from Rs. 13 cr over the same period.
Written by Manideep Appana
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