Artificial intelligence semiconductor startup DEEPX is expanding its European-proven business model into the Asia-Pacific (APAC) region. Leveraging the extensive local network of global electronic components distributor Avnet, the company plans to aggressively target 15 national markets where demand for physical AI—including smart factories, robotics, and intelligent cameras—is surging.

DEEPX announced on July 11 that it has formalized a collaboration framework with Avnet’s Asia and APAC regional subsidiaries. The core of this partnership extends the scope of the master distribution agreement signed last year between the two companies and Avnet Europe to encompass all of Asia. Avnet, a technology solutions distributor with supply chains spanning over 140 countries, will now facilitate the full-scale supply of DEEPX’s neural processing unit (NPU)-based products across Asia.

Proven European Business Model Transplanted to Asia

Since signing their master distribution agreement last year, DEEPX and Avnet Europe have pursued aggressive joint marketing, participating together in major global exhibitions such as Embedded World in Germany. As a result, NPU-based proof-of-concept (PoC) testing and application software development are now underway simultaneously with 25 companies across Europe.

The results are reflected in concrete figures. According to data compiled by Avnet Europe, new projects related to DEEPX reached 124 in the second quarter of this year alone, with an estimated potential business value of 18.46 million euros (approximately 31.6 billion won, or $21.1 million). DEEPX plans to replicate this end-to-end business framework—spanning customer discovery, PoC validation, application development, and product mass production—in Asian markets.

As a first step, the two companies jointly participated in the “Avnet Edge & Beyond Tech Days 2026” events in Singapore and Vietnam, which began on July 10. At these events, DEEPX aims to expand its engagement with local corporate customers and developers while strengthening its foothold in the physical AI market.

“In the physical AI market, success requires not just semiconductor performance, but also software, technical support, and supply chains that enable real-world product integration and mass production,” said Kim Nok-won, CEO of DEEPX. “We will extend the customer discovery and technology validation experience we’ve gained in Europe to Asian markets and continue delivering business results.”

Accelerating Global Supply Chain Expansion

DEEPX’s global distribution network extends well beyond Avnet. The company currently maintains partnerships with over 20 major distributors worldwide, including WPG, Macnica, Digital China, and Digi-Key. Through this diversified network, it is rapidly expanding its supply chain across North America, Europe, Japan, Greater China, and Southeast Asia.

The strengthened collaboration with Avnet’s APAC operations is widely seen as a strategic move to capture the Asian market, where demand for field-oriented physical AI—spanning smart factories, robotics, intelligent cameras, smart cities, industrial security and surveillance, and edge AI—is exploding. With Avnet’s local logistics infrastructure and customer network, DEEPX has established a system capable of delivering rapid technical support and product supply.

According to reporting by The Chosun Ilbo’s IT-focused media outlet, DEEPX has built a cooperation framework enabling Avnet’s Asian and APAC subsidiaries to officially supply and trade DEEPX products, laying the groundwork for a full-scale push into 15 local markets. The outlet also noted that European results are becoming increasingly visible, with PoC testing and application software development for 25 companies now advancing toward actual product integration and mass production feasibility assessment.