About Embedded Systems
There are 1.22K companies in the Embedded Systems sector across the world, with 297 funded companies having collectively raised $6.34B in venture capital money and private equity. Overall 215 of these are Series A+ funded and the sector has seen the creation of 4 Unicorns.
Embedded Systems sector has seen 105 acquisitions and 50 IPOs. This represents almost 12.7% of all such companies - which is higher than the 4.5% exit rate of tech companies in general.
This sector includes embedded systems are an application-specific combination of hardware and software designed to manage and optimise a specific device.
Embedded Systems sector is also known as Embedded Systems Solutions, Advanced Embedded Systems or Digital Embedded Systems.
Companies included in Embedded Systems sector
Design tools for designing, developing and testing embedded hardware, software and applications and IP cores exclusively for embeddable hardware; includes hardware components such as development boards, embeddable ICs, and single board computers and embedded hardware such as firmware, middleware, etc. Also includes embedded systems specific for applications in healthcare, automotive, etc.Companies excluded in Embedded Systems sector
Integrated circuits not developed specifically for embedded systems; printed circuit boards, flexible electronics, semiconductor wafers, etc. Also excludes design tools specifically built for designing Semiconductor ICs and not embedded systems.Market Map of Embedded Systems
The market map of Embedded Systems gives a visual overview of the sector, showing key business models, their interactions in the value chain, and industry evolution. Top 3 trending business models in Embedded Systems sector are Embedded Systems for IoT, Embedded Vision Systems and Embedded System Security.
Reports related to Embedded Systems
Here are some reports related to Embedded Systems sector:
Free
Embedded Systems - Sector Report
Edition: July, 2026 (68 Pages)
Premium
Embedded Systems Investor Landscape
Edition: November, 2025 (12 Pages)
Premium
Embedded Systems Exit Landscape
Edition: July, 2026 (15 Pages)
View all reports related to Embedded Systems. Sign up today!Top Companies in Embedded Systems
There are more than 1.22K companies in Embedded Systems. Particle is the top Embedded Systems company globally, ranked using Tracxn Score (what's this?).
Here are 5 of the top Embedded Systems companies globally:
Company | Description | Location | Founded | Current Stage | Private Funding Raised |
|---|---|---|---|---|---|
Developer of a prototype to production connectivity platform for IoT | San Francisco (United States) | 2011 | Acquired | $135M | |
Providing solid state thermal management solutions | Durham (United States) | 2009 | Series F | $230M | |
Manufacturer of AI-enabled image processors | Santa Clara (United States) | 2004 | Public | $15.4M | |
Developer of embedded computing platforms | Ismaning (Germany) | 1959 | Public | $34.6M | |
Developer of AI-based chips for machine vision tasks | Pudong (China) | 2016 | Public | $500M |
Companies founded year-on-year in the Embedded Systems sector
43 new startups have been founded so far in 2026 in the Embedded Systems sector. 50 Embedded Systems startups were founded in 2018 - this is the most number of startups founded in any year in the last 10 years.
- Total Number of Companies
Year | No. of companies |
|---|---|
2026 | 43 |
2025 | 12 |
2024 | 19 |
2023 | 14 |
2022 | 19 |
2021 | 26 |
2020 | 36 |
2019 | 39 |
2018 | 50 |
2017 | 40 |
Companies founded across countries in the Embedded Systems sector
United States has 272 Embedded Systems startups, the most by any country, followed by India which has 230 startups and Germany which has 116.
- Total Number of Companies
Country | No. of companies |
|---|---|
United States | 272 |
India | 230 |
Germany | 116 |
China | 82 |
United Kingdom | 75 |
Taiwan | 37 |
Canada | 35 |
France | 27 |
Italy | 22 |
Netherlands | 22 |
Stage-wise distribution of the Embedded Systems sector
Out of the total 1,217 Embedded Systems companies, 297 have secured funding. Among them, 215 have reached Series A or higher, and 184 to Series B or beyond.
Founded - 1,217
Funded - 297
Series A+ - 215
Series B+ - 184
Series C+ - 168
Company Stage | No. of companies |
|---|---|
Founded | 1,217 |
Funded | 297 |
Series A+ | 215 |
Series B+ | 184 |
Series C+ | 168 |
Want to know more about Embedded Systems ? Signup and explore Tracxn for free
- 1.2K+ Total Companies
- $6.34B+ Total Funding
- 295+ Funded Companies
- 45+ IPOs
- 100+ Acquisitions
- 5 Reports
Funding Trends in the Embedded Systems sector
Total funding year-on-year in the Embedded Systems sector
The Embedded Systems sector saw a total funding of more than $5B in the last 10 years. The most amount of funding was in 2021 at more than $1.03B. There has been a total funding of $802M in 2026 till date.
- Total Funding
Year | Total Funding |
|---|---|
2026 | $802M |
2025 | $859M |
2024 | $554M |
2023 | $356M |
2022 | $246M |
2021 | $1.03B |
2020 | $230M |
2019 | $521M |
2018 | $231M |
2017 | $169M |
Total funding across countries in the Embedded Systems sector
In the last 10 years, Embedded Systems startups in United States have recieved the highest funding among all countries - $2.46B. China follows with $906M and United Kingdom with $451M.
- Total Funding
Country | Total Funding |
|---|---|
United States | $2.46B |
China | $906M |
United Kingdom | $451M |
Canada | $203M |
India | $103M |
Switzerland | $87.3M |
Sweden | $76.4M |
Germany | $63.3M |
France | $50M |
Italy | $16.1M |
Total funding amount raised by stage in the Embedded Systems sector
Over the last 10 years, the Embedded Systems sector have seen $188M into Seed Stage funding rounds, $2.41B into Early Stage funding rounds and $1.8B go into Late Stage funding rounds.
Funding Stage | Total Funding |
|---|---|
Early Stage | $2.41B |
Late Stage | $1.8B |
Debt | $328M |
Grant | $190M |
Seed Stage | $188M |
Post IPO | $24.1M |
PE | $12.4M |
Recent Funding Rounds in Embedded Systems
In the year 2026, till June 2026, Embedded Systems companies have raised $802M in equity funding across 18 rounds.
In the same period last year (i.e. till June 2025), Embedded Systems companies had raised $385M across 12 rounds.
So, 2026 has seen a 108.25% rise in funding in Embedded Systems companies as compared to 2025.
Here are some recent, important funding rounds in Embedded Systems:
Company | Round Raised | Amount Raised | Funding Date | Investors |
|---|---|---|---|---|
Series C | 3323 | Jun 15, 2026 | ||
Series C | 6540 | Jun 02, 2026 | ||
Seed | 3233 | May 27, 2026 | ||
Series B | 6094 | May 13, 2026 | ||
Series A | 1358 | May 12, 2026 |
Top Investors in Embedded Systems
Europa is the top investor in Embedded Systems companies based on number of companies invested.
Here are some top investors in Embedded Systems:
Investor | Location | Top Portfolio Companies |
|---|---|---|
Arlington (United States) | ||
Brussels (Belgium) | ||
Santa Clara (United States) | ||
Menlo Park (United States) | Mythic and Flex Logix |
M&A activity in Embedded Systems
In the year 2026, till July 2026, 6 acquisitions happened in Embedded Systems sector. Last year, in 2025, a total of 11 acquisitions happened in Embedded Systems sector.
Here are some recent, important acquisitions in Embedded Systems:
Company | Acquisition Type | Acquisition Date | Acquirers |
|---|---|---|---|
Business Acquisition | Jul 24, 2026 | ||
Business Acquisition | May 21, 2026 | ||
Business Acquisition | May 04, 2026 | ||
Business Acquisition | Mar 30, 2026 | ||
Business Acquisition | Mar 02, 2026 |
Acquisition trends in Embedded Systems
Here are the acquisition trends in Embedded Systems:
- Total Number of Acquisitions
Year | No. of companies |
|---|---|
2026 | 6 |
2025 | 11 |
2024 | 12 |
2023 | 3 |
2022 | 8 |
2021 | 9 |
2020 | 6 |
2019 | 12 |
2018 | 7 |
2017 | 5 |
IPOs in Embedded Systems
In the year 2024, till November 2024, 3 IPOs happened in Embedded Systems sector.
Here are some recent, important IPOs in Embedded Systems:
Company | IPO Date | Exchange Symbol |
|---|---|---|
Nov 15, 2024 | Singapore stock exchange. ( SGX) | |
Aug 08, 2024 | Hong Kong Exchanges (HKG) | |
Jun 11, 2024 | London Stock Exchange (LSE) | |
Nov 09, 2023 | Taipei Stock Exchange (TT) | |
Mar 01, 2023 | Bombay Stock Exchange (BSE) |
Colleges which produce the most Embedded Systems companies
Companies founded by alumni from top colleges in the Embedded Systems sector
Most number of Embedded Systems startups have been founded by alumni from University of California (Berkeley), IIT Kanpur and IIT Madras.
College | No. of companies |
|---|---|
University of California (Berkeley) | 8 |
IIT Kanpur | 6 |
IIT Madras | 6 |
Massachusetts Institute of Technology | 6 |
University of California (Los Angeles) | 6 |
Cornell University | 5 |
IIT Delhi | 5 |
BITS Pilani | 4 |
Stanford University | 4 |
Carnegie Mellon University | 3 |
Total funding in companies founded by alumni from top colleges in the the Embedded Systems sector
In the last 10 years, University of Toronto graduates' Embedded Systems companies have raised the most funding among top colleges. Tsinghua University alumni are second, and University of California (Berkeley) alumni are third.
College | Total Funding |
|---|---|
University of Toronto | $498M |
Tsinghua University | $482M |
University of California (Berkeley) | $463M |
Massachusetts Institute of Technology | $347M |
Tel Aviv University | $339M |
University of Oxford | $327M |
Stanford University | $190M |
Cornell University | $178M |
IIT Madras | $150M |
IIT Bombay | $145M |
Top News in Embedded Systems
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Silicon Motion Announces Results for the Quarterly Period Ended June 30, 2026GlobeNewswire•Jul 30, 2026•Silicon Motion
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Synapticon and Stabilus Forge Partnership for Integrated Actuators in Humanoid RobotsRoboticstomorrow•Jul 29, 2026•Stabilus, Synapticon
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Congatec Launches COM-HPC Client Module conga-HPC/cRX1 Based on AMD Ryzen AI Embedded X100 SeriesKorea Newswire•Jul 27, 2026•congatec
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Mouser Electronics Launches Online Transportation Resource Center for Next-Generation Mobility SolutionsRoboticstomorrow•Jul 22, 2026•Mouser
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Farnell partners with Hailo to accelerate edge AI innovationEvertiq•Jul 22, 2026•Farnell, Hailo, Newark
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BitFlow Launches Axion 1xE-DS9T Frame Grabber for Space-Constrained Machine Vision SystemsRoboticstomorrow•Jul 17, 2026•BitFlow, Advantech
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