BOSTON — Sea Machines Robotics Inc. this week said it has entered into a cooperative agreement with the U.S. Department of Transportation’s Maritime Administration to demonstrate the ability of its autonomous technology in increasing the safety, response time and productivity of marine oil-spill response operations.
Sea Machines was founded in 2015 and claimed to be “the leader in pioneering autonomous control and advanced perception systems for the marine industries.” The company builds software and systems to increase the safety, efficiency, and performance of ships, workboats, and commercial vessels worldwide.
The U.S. Maritime Administration (MARAD) is an agency of the U.S. Department of Transportation that promotes waterborne transportation and its integration with other segments of the transportation system.
Preparing for oil-spill exercise
To make the on-water exercises possible, Sea Machines will install its SM300 autonomous-command system aboard a MARCO skimming vessel owned by Marine Spill Response Corp. (MSRC), a not-for-profit, U.S. Coast Guard-classified oil spill removal organization (OSRO). MSRC was formed with the Marine Preservation Association to offer oil-spill response services in accordance with the Oil Pollution Act of 1990.
Sea Machines plans to train MSRC personnel to operate its system. Then, on Aug. 21, Sea Machines and MSRC will execute simulated oil-spill recovery exercises in the harbor of Portland, Maine, before an audience of government, naval, international, environmental, and industry partners.
The response skimming vessel is manufactured by Seattle-based Kvichak Marine Industries and is equipped with a MARCO filter belt skimmer to recover oil from the surface of the water. This vessel typically operates in coastal or near-shore areas. Once installed, the SM300 will give the MSRC vessel the following new capabilities:
Remote autonomous control from an onshore location or secondary vessel,
ENC-based mission planning,
Autonomous waypoint tracking,
Autonomous grid line tracking,
Collaborative autonomy for multi-vessel operations,
Wireless remote payload control to deploy onboard boom and other response equipment, and
Obstacle detection and collision avoidance.
Round-the-clock response
In addition, Sea Machines said, it enables minimally manned and unmanned autonomous maritime operations. Such configurations allow operators to respond to spill events 24/7 depending on recovery conditions, even when crews are unavailable or restricted, the company said. These configurations also reduce or eliminate exposure of crewmembers to toxic fumes and other safety hazards.
“Autonomous technology has the power to not only help prevent vessel accidents that can lead to spills, but can also facilitate better preparedness; aid in safer, efficient, and effective cleanup,” said CEO Michael G. Johnson, CEO of Sea Machines. “We look forward to working closely with MARAD and MSRC in these industry-modernizing exercises.”
“Our No. 1 priority is the safety of our personnel at MSRC,” said John Swift, vice president at MSRC. “The ability to use autonomous technology — allowing response operations to continue in an environment where their safety may be at risk — furthers our mission of response preparedness.”
Sea Machines promises rapid ROI for multiple vessels
Sea Machines’ SM Series of products, which includes the SM300 and SM200, provides marine operators a new era of task-driven, computer-guided vessel control, bringing advanced autonomy within reach for small- and large-scale operations. SM products can be installed aboard existing or new-build commercial vessels with return on investment typically seen within a year.
Sea Machines is also a leading developer of advanced perception and navigation assistance technology for a range of vessel types, including container ships. The company is currently testing its perception and situational awareness technology aboard one of A.P. Moller-Maersk’s new-build ice-class container ships.
The biggest mystery in the universe could possibly be right here on Earth. According to the National Oceanic and Atmospheric Administration (NOAA), as much as 95% of the oceans and 99% of the ocean floor has yet to be explored. Given more than 70% of the planet is covered by water, the promise for unmanned systems to go deeper into the depths of the sea could be one of the ripest opportunities for autonomy. Besides the benefits for conservationism, commercial missions are estimated to drive billions of dollars of new revenues. Already the demand for such hardware systems accounts for more than $2 billion, which many project will climb to more than $6 billion by 2025.
Today’s underwater drone market is in its infancy with most sensor-packed, torpedo-like devices being tugged around the globe on the decks of ships. These products break down into two main categories:
Remote Operated Vehicles (ROV)
Autonomous Underwater Vehicles (AUV)
As an example of the emerging possibilities for AUVs, earlier this month the British government-backed project, Boaty McBoatface, traversed more than 112 miles autonomously at depths of 4,000 meters to shed new light on climate change and rising sea levels.
In the words of Dr. Eleanor Frajka-Williams of the National Oceanography Centre in Southampton, England, “the data from Boaty McBoatface gave us a completely new way of looking at the deep ocean – the path taken by Boaty created a spatial view of the turbulence near the seafloor.” Frajka-Williams anticipates that the information will help scientists predict the impact of global warming.
Dr. Povl Abrahamsen of the British Antarctic Survey in Cambridge, England echoed this view, “This study is a great example of how exciting new technology such as the unmanned submarine ‘Boaty McBoatface’ can be used along with ship-based measurements and cutting-edge ocean models to discover and explain previously unknown processes affecting heat transport within the ocean.” The future plans for Boaty include diving underneath Arctic ice and into subsea volcanos.
Boaty operates in a crowded space of close to fifty for-profit companies competing for marketshare. The activities of both large multinational corporations and upstart technology providers range from applications for defense to commercial exploration to scientific research. One of the largest purveyors is BlueFin Robotics, which was purchased by General Dynamics in 2016. Since then, there have been a number of high profile aquatic acquisitions, including: Riptide Autonomous Solutions by BAE Systems; Liquid Robotics by Boeing; and multiple investments in Ocean Aero by Lockheed Martin. The biggest driver of this consolidation is the demand from the military, particularly the Navy, for autonomous searching out and destroy missions.
In September 2017 the US Navy established the Unmanned Undersea Vehicle Squadron 1 (UUVRON-1). When explaining this move, Captain Robert Gaucher stated “Standing up UUVRON 1 shows our Navy’s commitment to the future of unmanned systems and undersea combat.” This sentiment was shared by Commander Corey Barker, spokesman of the famed Submarine Force Pacific, “In addition to providing a rapid, potentially lower cost solution to a variety of mission sets, UUVs can mitigate operations that pose increased risk to manned platforms.”
Last summer the Navy appointed a dedicated Commander of UUVRON-1, Scott Smith. In a recent interview, Smith opined his vision for sea drones, “Those missions that are too dangerous to put men on, or those missions that are too mundane and routine, but important ― like monitoring ― we’ll use them for those missions, as well. I don’t think we’ll ever replace the manned platform, but we’ll certainly augment them to a large degree.” It is this augmentation that is generating millions of dollars of defense contracts which are starting to spill over to private industry.
Boston-based Dive Technologies, founded by a team of former BlueFin engineers, is building an innovative technology to broaden the use of unmanned marine systems. In speaking with its CEO this week, Jerry Sgobbo, he described nascent opportunities for his suite of innovations: “We see demand for offshore survey work in the U.S. increasing significantly as grid scale offshore wind farms are developed over the next decade. In particular, much of this work will take place in New England and mid-Atlantic waters.”
Sgobbo is referring to the recent move by Rhode Island in constructing the first ever wind farm in the United States, capitalizing on the regions famous gale-force gusts. Based upon the success of the Block Island project, other states are quickly putting forth legislation to follow suit. Just this week, Senator Edward Markey of Massachusetts declared in Congress that “offshore wind has the potential to change the game on climate change, and those winds of change are blowing off the shores of Massachusetts. Offshore wind projects are a crucial part of America’s clean energy future, creating tens of thousands of jobs up and down the East Coast and reducing carbon pollution. In order to harness this potential, we need to provide this burgeoning industry the long-term certainty in the tax code that it needs.”
Sgobbo believes that such moves will spark greater investment in automation to support the harnessing of renewal energy. Dive’s value proposition is collecting imaging that enables wind farm builders to better map the ocean floor for their large structures. As the founder states, “For commercial customers, this data is necessary to support deepwater energy infrastructure projects. For defense customers, the same imaging approach is used to locate sea mines.”
Dive’s flexible platform readily lends itself to the development of offshore wind turbines. Sgobbo further explained, “Dive’s AUV is a large platform with very long range and is intended to operate independently without the need for the infrastructure that traditionally supports an AUV mission today. This allows a survey operator to reduce cost as well as perform survey work at times of the year when it is impractical to use a towed system or smaller AUV.”
The startup leveraged its extensive industry knowledge to reinvent how marine drones are utilized. “When we started Dive Technologies, my co-founders and I first took an in-depth look at how medium and large sized AUVs are being operated and manufactured across the industry today and we saw vast potential for innovation and improvement,” recalled Sgobbo. “Our new AUV platform, the ‘DIVE-LD,’ addresses the industry’s needs by drastically increasing payload capacity and on-board energy storage but, most importantly, driving down the cost to collect offshore data. We do this by offering quickly configurable payload space to accommodate specific sensors needed for a job or mission, and then letting our robot do what robots are meant to do, operate autonomously and with minimal human intervention.”
This means that Dive’s ability to tailor its product to specific mission requirements, along with greater battery capacity, enables it to take travel farther and deeper than its competitors. “Today’s offshore AUV missions are typically conducted with a dozen humans in an expensive surface support vessel which leads to important survey work being prohibitively expensive. Dive’s novel engineering solution will categorically shift this paradigm,” expounds Sgobbo.
As the growth of marine robotics begins to proliferate across the globe, how businesses utilize the technology will expand into new categories. Sgobbo predicts, “Often, the military and commercial missions have used very similar AUV technology, but are looking for different things in the ocean. Looking forward, both customers are interested in longer range AUVs. For commercial customers, the goal is to reduce operating costs. For defense, a low cost, long range AUV opens new mission sets beyond mine countermeasure and will further lend to keeping sailors safe from dull, dirty, and dangerous missions. Also, AUVs are increasingly important data collection tools for the scientific community.”
As we closed our discussion, he optimistically quipped, “With approximately 90% of the world’s trade carried across these marine highways, we see the U.S. Navy investing heavily in next generation AUV technologies to maintain a forward presence and keep shipping lanes secure. As a team, we also look forward to the opportunities we’ll discover in the unknown.”
CloudMinds was among the robotics companies receiving funding in March 2019. Source: CloudMinds
Investments in robots, autonomous vehicles, and related systems totaled at least $1.3 billion in March 2019, down from $4.3 billion in February. On the other hand, automation companies reported $7.8 billion in mergers and acquisitions last month. While that may represent a slowdown, note that many businesses did not specify the amounts involved in their transactions, of which there were at least 58 in March.
Self-driving cars and trucks — including machine learning and sensor technologies — continued to receive significant funding. Although Lyft’s initial public offering was not directly related to autonomous vehicles, it illustrates the investments flowing for transportation.
Other use cases represented in March 2019 included surgical robotics, industrial automation, and service robots. See the table below, which lists amounts in millions of dollars where they were available:
Company
Amt. (M$)
Type
Lead investor, partner, acquirer
Date
Technology
Airbiquity
15
investment
Denso Corp., Toyota Motor Corp., Toyota Tsushu Corp.
March 12, 2019
connected vehicles
AROMA BIT Inc.
2.2
Series A
Sony Innovation Fund
March 3, 2019
olofactory sensors
AtomRobot
Series B1
Y&R Capital
March 5, 2019
industrial automation
Automata
7.4
Series A
ABB
March 19, 2019
robot arm
Avidbots
23.6
Series B
True Ventures
March 21, 2019
commercial floor cleaning
Boranet
Series A
Gobi Partners
March 6, 2019
IIoT, machine vision
Broadmann17
11
Series A
OurCrowd
March 6, 2019
deep learning, autonomous vehicles
Cloudminds
300
investment
SoftBank Vision Fund
March 26, 2019
service robots
Corindus
4.8
private placement
March 12, 2019
surgical robot
Determined AI
11
Series A
GV (Google Ventures)
March 13, 2019
AI, deep learning
Emergen Group
29
Series B
Qiming Venture Partners
March 13, 2019
industrial automation
Fabu Technology
pre-Series A
Qingsong Fund
March 1, 2019
autonomous vehicles
Fortna
recapitalization
Thomas H. Lee PArtners LP
March 27, 2019
materlais handling
ForwardX
14.95
Series B
Hupang Licheng Fund
March 21, 2019
autonomous mobile robots
Gaussian Robotics
14.9
Series B
Grand Flight Investment
March 20, 2019
cleaning
Hangzhou Guochen Robot Technology
15
Series A
Hongcheng Capital, Yingshi Fund (YS Investment)
March 13, 2019
robotics R&D
Hangzhou Jimu Technology Co.
Series B
Flyfot Ventures
March 6, 2019
autonomous vehicles
InnerSpace
3.2
seed
BDC Capital's Women in Technology Fund
March 26, 2019
IoT
Innoviz Technologies
132
Series C
China Merchants Capital, Shenzhen Capital Group, New Alliance Capital
March 26, 2019
lidar
Intelligent Marking
investment
Benjamin Capital
March 6, 2019
autonomous robots for marking sports fields
Kaarta Inc.
6.5
Series A
GreenSoil Building Innovation Fund
March 21, 2019
lidar mapping
Kolmostar Inc.
10
Series A
March 5, 2019
positioning technology
Linear Labs
4.5
seed
Science Inc., Kindred Ventures
March 26, 2019
motors
MELCO Factory Automation Philippines Inc.
2.38
new division
Mitsubishi Electric Corp.
March 12, 2019
industrial automation
Monet Technologies
4.51
joint venture
Honda Motor Co., Hino Motors Ltd., SoftBank Corp., Toyota Motor Corp
Bonfire Ventures, Vertex Ventures, London Venture Partners
March 11, 2019
machine vision
Vtrus
2.9
investment
March 8, 2019
drone inspection
Weltmeister Motor
450
Series C
Baidu Inc.
March 11, 2019
self-driving cars
And here are the mergers and acquisitions:
March 2019 robotics acquisitions
Company
Amt. (M$)
Acquirer
Date
Technology
Accelerated Dynamics
Animal Dynamics
3/8/2019
AI, drone swarms
Astori AS
4Subsea
3/19/2019
undersea control systems
Brainlab
Smith & Nephew
3/12/2019
surgical robot
Figure Eight
175
Appen Ltd.
3/10/2019
AI, machine learning
Floating Point FX
CycloMedia
3/7/2019
machine vision, 3D modeling
Florida Turbine Technologies
60
Kratos Defense and Security Solutions
3/1/2019
drones
Infinity Augmented Reality
Alibaba Group Holding Ltd.
3/21/2019
AR, machine vision
Integrated Device Technology Inc.
6700
Renesas
3/30/2019
self-driving vehicle processors
Medineering
Brainlab
3/20/2019
surgical
Modern Robotics Inc.
0.97
Boxlight Corp.
3/14/2019
STEM
OMNI Orthopaedics Inc.
Corin Group
3/6/2019
surgical robotics
OrthoSpace Ltd.
220
Stryker Corp.
3/14/2019
surgical robotics
Osiris Therapeutics
660
Smith & Nephew
3/12/2019
surgical robotics
Restoration Robotics Inc.
21
Venus Concept Ltd.
3/15/2019
surgical robotics
Sofar Ocean Technologies
7
Spoondrift, OpenROV
3/28/2019
underwater drones, sensors
Torc Robotics Inc.
Daimler Trucks and Buses Holding Inc.
3/29/2019
driverless truck software
Surgical robots make the cut
One of the largest transactions reported in March 2019 was Smith & Nephew’s purchase of Osiris Therapeutics for $660 million. However, some Osiris shareholders are suing to block the acquisition because they believe the price that U.K.-based Smith & Nephew is offering is too low. The shareholders’ confidence reflects a hot healthcare robotics space, where capital, consolidation, and chasing new applications are driving factors.
Venus Concept Ltd. merged with hair-implant provider Restoration Robotics for $21 million, and Shanghai Changren Information Technology raised Series A funding of $14.89 million for its Xiaobao healthcare robot.
Aside from Lyft, the biggest reported transportation robotics transaction in March 2019 was Renesas’ completion of its $6.7 billion purchase of Integrated Device Technology Inc. for its self-driving car chips.
The next biggest deal was Weltmeister Motor’s $450 million Series C, in which Baidu Inc. participated.
Lidar also got some support, with Innoviz Technologies raising $132 million in a Series C round, and Ouster raising $60 million. In a prime example of how driverless technology is “paying a peace dividend” to other applications, Google parent Alphabet’s Waymo unit offered its custom lidar sensors to robotics, security, and agricultural companies.
Automakers recognize the need for 3-D modeling, sensors, and software for autonomous vehicles to navigate safely and accurately. A Daimler unit acquired Torc Robotics Inc., which is working on driverless trucks, and CycloMedia acquired machine vision firm Floating Point FX. The amounts were not specified.
Speaking of machine learning, Appen Ltd. acquired dataset annotation company Figure Eight for $175 million, with an possible $125 million more based on 2019 performance. Denso Corp. and Toyota Motor Corp. contributed $15 million to Airbiquity, which is working on connected vehicles.
Service robots clean up
From retail to cleaning and customer service, the combination of improving human-machine interactions, ongoing staffing turnover and shortages, and companies with round-the-clock operations has contributed to investor interest.
The SoftBank Vision Fund participated in a $300 million round for CloudMinds. The Chinese AI and robotics company’s XR-1 is a humanoid service robot, and it also makes security robots and connects robots to the cloud.
According to its filing with the U.S. Securities and Exchange Commission, TakeOff Technologies Inc. raised an unspecified amount for its grocery robots, an area that many observers expect to grow as consumers become more accustomed to getting home deliveries.
On the cleaning side, Avidbots raised $23.6 million in Series B, led by True Ventures. Gaussian Robotics’ Series B was $14.9 million, with participation from Grand Flight Investment.
China’s efforts to develop its domestic robotics industry continued, as Emergen Group’s $29 million Series B round was the largest reported investment in industrial automation last month.
Hangzhou Guochen Robot Technology raised $15 million in Series A funding for robotics research and development and integration.
Data startup Spopondrift and underwater drone maker OpenROV merged to form Sofar Ocean Technologies. The new San Francisco company also announced a Series A round of $7 million. Also, 4Subsea acquired underwater control systems maker Astori AS.
In the aerial drone space, Kratos Defense and Security Solutions acquired Florida Turbine Technologies for $60 million, and Vtrus raised $2.9 million for commercializing drone inspections. Kaarta Inc., which makes a lidar for indoor mapping, raised $6.5 million.
The Robot Reportbroke the news of Aria Insights, formerly known as CyPhy Works, shutting down in March 2019.
Editors Note: What defines robotics investments? The answer to this simple question is central in any attempt to quantify robotics investments with some degree of rigor. To make investment analyses consistent, repeatable, and valuable, it is critical to wring out as much subjectivity as possible during the evaluation process. This begins with a definition of terms and a description of assumptions.
Investors and Investing
Investment should come from venture capital firms, corporate investment groups, angel investors, and other sources. Friends-and-family investments, government/non-governmental agency grants, and crowd-sourced funding are excluded.
Robotics and Intelligent Systems Companies
Robotics companies must generate or expect to generate revenue from the production of robotics products (that sense, think, and act in the physical world), hardware or software subsystems and enabling technologies for robots, or services supporting robotics devices. For this analysis, autonomous vehicles (including technologies that support autonomous driving) and drones are considered robots, while 3D printers, CNC systems, and various types of “hard” automation are not.
Companies that are “robotic” in name only, or use the term “robot” to describe products and services that that do not enable or support devices acting in the physical world, are excluded. For example, this includes “software robots” and robotic process automation. Many firms have multiple locations in different countries. Company locations given in the analysis are based on the publicly listed headquarters in legal documents, press releases, etc.
Verification
Funding information is collected from a number of public and private sources. These include press releases from corporations and investment groups, corporate briefings, and association and industry publications. In addition, information comes from sessions at conferences and seminars, as well as during private interviews with industry representatives, investors, and others. Unverifiable investments are excluded.
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