Ethereal Machines has raised $28.5 million (approximately ₹240 crore) in a Series B funding round, marking a significant milestone for the startup. The round was led by Avataar Ventures, with participation from existing investor Peak XV Partners. Other participants included Novellus Systems, Sustained Innovations LLP, Eventures India Pvt Ltd, Indigo Circle Advisors, and Shailesh Lakhani—investors known for backing startups.
The company plans to build a state-of-the-art manufacturing facility spanning 300,000 square feet in Doddaballapur, Bengaluru; this facility will be six times the size of its current factory and is expected to generate around 2,000 jobs. The funds will also be utilized to develop 'Vesper' (the company's AI software) and a Multi-Axis CNC Controller—a critical component for the company's high-speed manufacturing operations. Additionally, the company intends to focus on manufacturing parts for the semiconductor industry and is working on expanding its presence in the US and Europe.
The company was founded in 2014 by two engineering students, Kaushik Mudda and Navin Jain, during their college years. Kaushik Mudda serves as the Co-founder and CEO, while Navin Jain is the Co-founder and CTO. Ethereal Machines is a deep-tech precision manufacturing company that designs and manufactures Computer Numerical Control (CNC) machines.
The company manufactures precision components for various sectors, including aerospace, defense, healthcare and medical devices, semiconductor manufacturing, consumer electronics, and energy infrastructure.
