Deeptech startup H2LooP has raised $2 million, approximately Rs 18.59 crore, in a seed funding round co-led by Speciale Invest and 3one4 Capital. The investment marks an early milestone for the company as it works to build advanced AI-driven tools tailored for embedded systems and hardware-centric industries.
Targeting High-Complexity, High-Reliability Sectors
The newly raised capital will be directed toward expanding H2LooP’s presence in sectors that demand high reliability and real-time performance. These include data centres, unmanned aerial vehicles, and robotics. The company plans to strengthen its capabilities in environments where data control and system stability are critical.
Building AI-Native Tools for Hardware-Driven Software
Founded in May 2025 by Sairanjan Mishra and Pulkit Agrawal, H2LooP focuses on developing AI-powered tools designed specifically for embedded systems, hardware engineering, and software that directly interacts with hardware. Its offerings include AI-native coding assistants, small language models designed for low-level systems such as firmware and drivers, and hardware-aware debugging tools.
The startup’s approach centres on creating tools that can understand the complexities of hardware systems while assisting developers in writing and managing software more efficiently.
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Bridging the Gap Between Hardware and Software Development
H2LooP aims to address a long-standing gap between hardware engineering and software development. Traditional development tools often struggle to account for hardware constraints and safety requirements. The company’s platform is designed to interpret these constraints while working with complex codebases, helping engineers develop more reliable and efficient systems.
Its domain-specific AI models are tailored for C and C++ embedded code. These models are capable of operating in secure or air-gapped environments, which is particularly important for industries such as defence and semiconductors where intellectual property protection is a priority.
Real-World Deployments Across Key Industries
According to the company, H2LooP is already collaborating with semiconductor companies, defence organisations, and telecom firms. Its platform is being used in real-world scenarios to analyse firmware, interpret silicon specifications, and ensure compliance with safety standards.
The system also automates the debugging of crash logs and converts technical documents, including PDFs, into structured and actionable training data. These capabilities are aimed at reducing development time while improving accuracy and system reliability.
Positioning as an Alternative to Conventional Coding Assistants
H2LooP is working toward building tools that can serve as a replacement for conventional coding assistants, particularly in the domain of low-level systems engineering. Unlike general-purpose solutions, the company’s products are designed with a deep understanding of hardware interactions and embedded environments.
By focusing on specialised AI models and infrastructure, the startup is positioning itself to support industries such as automotive, aerospace, robotics, and semiconductors, where precision and reliability are essential.
With its latest funding round, H2LooP plans to scale its technology and expand its footprint in these critical sectors, aiming to accelerate the development of embedded software through AI-driven innovation.
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