XIDA Inc. Acquires ITSJ Group Assets in San Jose
The acquisition aims to expand XIDA's semiconductor and data-center hardware manufacturing footprint in Silicon Valley.
Updated on Oct. 15, 2026 in Semiconductors
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AXISCADES Technologies Limited has announced its subsidiary, XIDA Inc., will acquire business assets from San Jose-based ITSJ Group, Inc. The move positions the company to expand its manufacturing and engineering footprint in Silicon Valley.
Why it matters
This acquisition establishes an operating base for XIDA in Silicon Valley, aiming to integrate existing Indian engineering resources with local hardware manufacturing capabilities. The strategy targets supplier positions in the semiconductor and data center infrastructure markets.
The acquisition targets ITSJ Group assets, which include manufacturing processes such as CNC machining—a subtractive manufacturing method using computer-controlled tools—and printed circuit board assembly. The integration aims to scale infrastructure systems for semiconductor capital equipment and data centers.
The players
AXISCADES Technologies Limited
An engineering and technology solutions firm that leverages a global engineering platform based in India.
ITSJ Group, Inc.
A San Jose-based provider of semiconductor equipment sub-assemblies, cooling systems, and infrastructure components.
XIDA Inc.
The US-based subsidiary of AXISCADES tasked with executing the asset acquisition and expanding local operations.
The details
XIDA Inc. will integrate management resources and engineering expertise from the parent organization to support its new local operations. ITSJ Group specializes in producing cooling and infrastructure hardware, which serves as a critical component in the semiconductor manufacturing supply chain. The combination of these US-based hardware manufacturing capabilities with India-based engineering services is intended to create a global delivery model for AI-specific infrastructure.
Timeline
2023: ITSJ Group, Inc. was founded.
October 14, 2026: The Board of Directors of AXISCADES Technologies Limited approved the acquisition.
The Tech Race
The acquisition aligns with the broader move to localize semiconductor hardware production within Silicon Valley to shorten supply chains. This integration follows the industry-wide trend of vertical alignment in AI infrastructure, positioning the firm to compete for specialized hardware contracts.
The acquisition primarily affects the supply chain for data center operators and semiconductor manufacturers in the San Jose area by localizing hardware sub-assembly production. XIDA plans to use this base to scale its AI infrastructure services for regional industry partners.
The takeaway
The move signals a shift toward a consolidated global delivery model for AI infrastructure. Observers should track the integration of Indian engineering workflows with the newly acquired CNC and PCB manufacturing assets in California as a benchmark for future service scaling.
Further reading
For more on how hardware manufacturing is evolving, see our coverage in Semiconductors.
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