AI chiplet startup Eliyan draws takeover interest months after $1 billion valuation

AI Chiplet Startup Eliyan Draws Takeover Interest Months After $1 Billion Valuation

Acquisition Talks

Eliyan has received at least one offer, but the identity of the bidder has not been disclosed. The company has hired an investment bank to weigh its strategic options, which include a potential target valuation of $3 billion. This figure is a potential target, not an agreed price, and nobody has publicly committed to paying it. Arm has also held preliminary acquisition discussions with Eliyan, but no formal bid has been placed yet.

What Eliyan Actually Builds

Eliyan's products include NuLink PHYs and NuGear chiplets, which are smaller pieces of silicon combined into one package. The company's technology is silicon-proven on advanced fabrication nodes, including 3nm processes. Eliyan also holds more than 100 patents and has been expanding into electro-optical solutions.

Background

Eliyan was founded in 2021 and has raised over $250 million in total. The company closed its $145 million Series C round in July 2026, which valued Eliyan at $1 billion, earning it unicorn status. The investor list leans heavily towards strategic investors, including Seligman Ventures, Cisco Investments, and Lumentum.

Implications

A potential $3 billion valuation is aggressive, but it reflects Eliyan's potential in the AI hardware race. The company plans to ship its initial chiplet products by the end of 2026, with expectations of significant revenue in the following year. Delays in shipping could weaken Eliyan's negotiating position, while a clean launch would strengthen it considerably.