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NovoLINC

Investment Memo | Series A Evaluation

Company Overview

NovoLINC develops proprietary nanostructured Thermal Interface Materials (TIMs) with industry-record low thermal resistance to eliminate thermal bottlenecks in high-performance electronics. Founded in 2024 as a spinout from Carnegie Mellon University and based in Pittsburgh, PA, the company has raised $12.4M across two seed rounds (most recent: $10.4M in Dec 2025, backed by TDK Ventures, M Ventures, and Hitachi Ventures). NovoLINC targets performance-critical markets including workstations, gaming PCs, laptops, and AI/HPC systems where thermal performance directly impacts product differentiation.

Why NovoLINC? HP Tech Ventures Investment Alignment

Series A Compliant: Post-seed stage with $12.4M raised. Clear path to Series A with demonstrated technology validation and active customer pilots.

Proprietary Technology & IP: Record-breaking thermal performance (~0.7 mm²·K/W vs. 1.5-3.0 for greases). Novel electrochemical deposition process. Protected by core IP with validation from ARPA-E COOLERCHIPS and NSF PFI programs.

Large TAM with Growth Trajectory: TIM market: $4.1-4.6B (2024) → $7.7-10.8B (2028-31) at 11.6-18.6% CAGR. Growing customer base with active pilots at OEMs and cold plate manufacturers.

Strategic Fit for HP Thermal Innovation: Direct alignment with HP's workstation, gaming desktop, and high-performance laptop cooling needs. Addresses thermal bottlenecks in next-gen AI chips and high-TDP processors—critical for HP's premium product lines.

Credible Team & Ecosystem: CMU-pedigreed founders with deep thermal science expertise. Strategic investors include name-brand VCs (TDK, M Ventures, Hitachi). NVIDIA Inception member, OCP participant.

HP Tech Ventures | Confidential

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Market Opportunity & Business Analysis

The TIM Market: Massive Growth Driven by Thermal Bottlenecks

Market Size: $4.1-4.6B (2023-24) → $7.7-10.8B (2028-31) | CAGR: 11.6-18.6%

Key Growth Drivers: (1) Rising chip power density in CPUs/GPUs creates severe thermal constraints; (2) Proliferation of AI workloads beyond data centers into workstations and edge devices; (3) Advanced cooling architectures (liquid/hybrid) requiring low-resistance, high-reliability TIMs; (4) Advanced packaging (chiplets, multi-die, HBM) increasing thermal complexity at die interfaces.

The Problem NovoLINC Solves: Modern high-performance chips generate extreme heat that conventional TIMs (greases, pads) cannot effectively dissipate—leading to throttling, reliability failures, and limited product differentiation. As thermal performance becomes a system-level constraint, demand shifts toward step-change innovations rather than incremental improvements.

Technology & Differentiation

Core Innovation:

Nanocomposite TIM via continuous electrochemical deposition process

Multidimensional Moat:

  • • Performance: ~0.7 mm²·K/W (vs. 1.5-3.0 for greases, >2.5 for graphite pads)
  • • Reliability: High mechanical compliance prevents degradation under warpage/cycling
  • • Operational: Room-temp reworkability reduces servicing downtime
  • • Manufacturing: Scalable, tunable process for different geometries

Target Markets:

High-end laptops, workstations, gaming PCs, AI/HPC systems, advanced semiconductor packaging

GTM Strategy & Competition

Go-to-Market Approach:

  • • Pilot-first commercialization with OEM validation
  • • Partner-driven sales via cold plate OEMs and thermal module integrators
  • • Premium positioning (performance > cost)
  • • Staged manufacturing scale-up aligned with pilot-to-contract conversion

Competitive Landscape:

NOT competing head-to-head on price against commodity TIMs (greases, phase-change materials, graphite pads). Instead, disrupting with step-function performance where thermal limits constrain system value.

Key Advantages:

2-4× better thermal performance | Superior reliability | Manufacturing scalability

Primary Risk:

12-24 month OEM qualification cycles and incumbent supplier inertia

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Team Assessment & Risk Analysis

Leadership Team Evaluation

Key Leadership:

Ning Li – CEO & Co-Founder

18+ years electronics/semiconductor experience (Seagate Technology). Serial entrepreneur with hands-on tech development and commercialization expertise.

Dr. Rui Cheng – CTO & Co-Founder

PhD Materials Science (Carnegie Mellon). Co-inventor of NovoLINC's core IP. Expert in electrochemical nanostructures and nanoscale thermal transport.

Prof. Sheng Shen – CSO & Co-Founder

CMU Mechanical Engineering professor and recognized authority in nanostructured heat transfer. Reinforces scientific credibility and long-term innovation.

Bob Wenner – COO

Extensive startup operations and scale-up experience. Brought in to guide manufacturing readiness and commercialization execution.

Team Strengths:

Exceptional technical depth in thermal science and nanomaterials | Strong IP generation capability | Institutional credibility (CMU, ARPA-E, NSF) | Early recognition of execution needs (COO hire)

Identified Gaps:

Limited disclosed experience with PC OEM/ODM supply chains | Sales/distribution strategy still developing | Manufacturing quality systems need demonstration at scale

Key Risks & Required Diligence

Technology & Manufacturing Risks:

  • • Novel electrochemical process needs proven repeatability and yield at volume
  • • Long-term reliability under thermal cycling, vibration, shock not fully disclosed
  • • Process control metrics and quality assurance protocols require validation

Commercialization Risks:

  • • 12-24 month OEM qualification timelines delay revenue realization
  • • Heavy reliance on partner-led adoption creates dependency risk
  • • Pilot-to-production conversion rates unknown
  • • Customer concentration (few active partners) increases execution risk

Market & Pricing Risks:

  • • Premium positioning limits addressable market to performance-critical segments
  • • System-level performance benefits must translate to clear economic value
  • • Incumbent supplier relationships and qualification history create switching barriers

Capital & Execution Risks:

  • • Seed-stage funding may need extension if adoption slower than expected
  • • Premature scaling without demand could lead to inefficient capital deployment

Critical Diligence Items:

Pilot program status/success metrics | Manufacturing yield and repeatability data | Detailed pricing strategy and cost structure | Evidence of PC OEM engagement | Visibility into qualification pathways and timelines

RECOMMENDATION: Proceed with deeper diligence. Strong technical fit and market opportunity, but requires validation of PC market traction, manufacturing readiness, and pilot conversion metrics.