Canaan, Inc. (NASDAQ: CAN) announces a $3.1 million investment in Pixelworks Semiconductor Technology Co., Ltd. (PWSH), a subsidiary of Pixelworks, Inc. (NASDAQ: PXLW).
Canaan, Inc., explodes onto AI scene
According to the official announcement shared by Canaan's team, the leading cryptocurrency mining producers have invested approximately $3.1 million in the China-based visual solutions firm.
Canaan Enhances Its AI Business Through Investment in Leading Visual Solution Provider — Announces US$3.1 Million Investment Agreement with Pixelworks.https://t.co/Ky0bXERK5V pic.twitter.com/Y6tvl47BEi— Canaan (@canaanio) August 11, 2021
Canaan entered into an agreement with PWSH through its wholly-owned subsidiary, Hangzhou Canaan Creative Information Technology Limited.
This funding round comes as part of the Capital Increase Agreement reached by PWSH and Pixelworks, Inc., with the investors behind Canaan, Inc.
PWSH addresses the segment of producing, promoting and selling visual display processing semiconductors, ASICs for video applications, video infrastructure equipment and high-end streaming devices.
Canaan is focused on expanding beyond cryptocurrency mining
Nangeng Zhang, chairman and CEO of Canaan, Inc., stresses the importance of his firm's expansion into new segments of the digital industry:
This investment reaffirms our strategy of further expanding Canaan's compelling computing power beyond cryptocurrency mining to AI solutions. Featured with our Kendryte series products, we are committed to furthering R&D efforts and expanding the usage scenarios of our AI business. We look forward to leveraging our advantages to unlock synergies with PWSH on ASIC and edge computing applications in the massive market of image processing and visual solutions.
Launched in 2013, Canaan is well known as one of the pioneers of cryptocurrency mining equipment production. Bitcoin (BTC) mining computers from AvalonMiner are Canaan's flagship devices.
As covered by U.Today previously, amidst an exhausting Chinese ban on crypto mining, the company is going to begin its operations in Kazakhstan.