Focus AI signs mass-production agreement with DEEPX for AI servers based on domestic NPUs

[Financial News] Focus AI said on the 30th that it had signed an agreement with DEEPX, an ultra-low-power artificial intelligence (AI) semiconductor company, to mass-produce in-house-designed AI servers based on neural processing units (NPUs). The two companies plan to combine domestically made AI semiconductors with video analytics technology to promote the localization of AI in the video security sector and launch their first product next January.
The agreement goes beyond a standard memorandum of understanding (MOU) that sets out the direction of cooperation, specifying the two companies’ respective roles and the scope of their collaboration in bringing the product to mass production. It covers cooperation across the entire process needed to commercialize the product, from algorithm porting and validation to system integration, chip supply for mass production, and on-site testing.
The AI server being developed by Focus AI is equipment that performs complex AI computations on site that are difficult for cameras to handle. It can be installed in existing CCTV environments without replacing cameras, enabling advanced video analytics such as fire and fall detection and crowd-density analysis.
Under the agreement, Focus AI will design and produce the AI servers and optimize its own AI video analytics algorithms for DEEPX’s NPU. DEEPX will verify the stability of the optimized algorithms running on its NPU and provide technical support for product integration, as well as supply chips for mass production.
The companies plan to first introduce a model for small worksites and then expand the product lineup in stages according to worksite size. The products will come preloaded with AI algorithms in high demand at worksites, including object recognition and people counting, safety monitoring such as fall and fire detection, and crowd-density analysis.
The company is focusing on demand for domestically made products in South Korea’s AI box market, which has been dominated by products made in China. It says that while overseas products based on NPUs also face limitations in terms of supply stability, demand for domestically made equipment is growing in the security, public-sector, and local-government fields.
DEEPX’s NPU is an ultra-low-power on-device AI semiconductor manufactured using Samsung Electronics Co., Ltd.’s 5-nanometer process. It performs AI inference using as little as 1–5 W of power, making it suitable for on-site AI equipment that must operate continuously, such as video surveillance and security systems. Since beginning mass production in August 2025, DEEPX has secured a total of 90 commercial purchase orders (POs) worth approximately $15.26 million in around 10 countries. The company plans to expand its commercialization partnerships in AI video analytics, building on this agreement.
Focus AI sees the shortage of commercial products at price points suitable for small and medium-sized worksites as an opportunity to enter the market. It plans to target first not only large worksites, which have relied on expensive combinations of PC servers and GPUs, but also small and medium-sized worksites seeking to adopt advanced AI analytics at a reasonable cost. Its strategy is to manage costs through in-house design and speed up on-site response after installation through technical support from DEEPX in Korea.
From an industry perspective, the ability to add AI analytics while continuing to use existing CCTV systems could be a key factor in reducing the burden of adoption for small and medium-sized worksites. Power costs associated with continuous operation, ease of maintenance, a stable semiconductor supply, and technical support systems are also expected to affect the competitiveness of on-site AI equipment.
Focus AI is also pursuing security- and safety-related certifications required to supply products to public institutions and major industrial sectors. The company plans to use these certifications to boost confidence in its products and expand its foothold in public-sector and industrial markets.
“This agreement goes beyond a declaration of cooperation and sets out specific product shipment schedules and action plans for mass production,” said Gu Hyeongmo, CEO of Focus AI. “By combining domestic NPUs with hardware we designed ourselves and validated algorithms, we will introduce our first domestically made AI server next January.”
Kim Nok-won, CEO of DEEPX, emphasized that “starting mass-production cooperation with a Korean finished-product company in the security video sector means that the deployment and commercialization of domestically made AI semiconductors in actual products are expanding.”

[email protected] Choi Doo-seon Reporter