Dexterity Secures $95 Million Funding, Reaching $1.65 Billion Valuation for AI-Powered Industrial Robots

AI Robotics Startup Dexterity Lands $1.65 Billion Valuation

Dexterity Inc., a startup that builds industrial robots capable of "human-like" finesse, has raised $95 million from investors at a valuation of $1.65 billion -- a deal that underscores Silicon Valley's interest in machinery powered by artificial intelligence. Lightspeed Venture Partners participated in the funding round, which the company plans to announce Tuesday. The deal brings Dexterity's total cash haul to nearly $300 million, and includes backing from strategic investors such as Sumitomo Corp.

Dexterity Raises $95 Million to Develop 'Physical AI' for Robots | PYMNTS.com

Dexterity raised $95 million in additional funding to accelerate its development of "Physical AI," which it defines as artificial intelligence that powers robots to do physical tasks. "Dexterity's 'AI of AIs' approach leverages hundreds of Physical AI models to unlock the capability for robots to load trucks, singulate parcels and palletize for the world's largest companies," Dexterity said in a Tuesday (March 11) post on LinkedIn announcing the funding. "And we're just getting started." The company said in the post that it aims to use the technology to enhance productivity and address labor shortages. Dexterity's Physical AI and robotics offerings feature robots with human-like dexterity, automation of repetitive tasks and complex manipulations in unpredictable environments, according to the company's website. These products have applications in logistics, warehousing and supply chain operations, per the site. In August, Figure unveiled its second-generation humanoid robot, Figure 02, saying the product's dexterity and advanced AI enable it to perform "a wide range of tasks across commercial applications and, in the near future, the home." Also on Feb. 14, it was reported that Meta was forming a new team that will be devoted to developing AI-powered humanoid robots that can perform household chores as well as AI, sensors and software that could be used by a variety of companies manufacturing and selling robots. On Feb. 13, Apptronik said it raised $350 million to help deploy its Apollo humanoid robot, scale operations and expand its staff to meet what it said is a surge in demand for AI-powered humanoid robots. Apptronik said its new funding will allow it to fulfill growing orders from a range of industries, including automotive, electronics, third-party logistics, beverage bottling and fulfillment, and consumer packaged goods.

Yet another AI robotics firm lands major funding, as Dexterity closes latest round | TechCrunch

The intersection of robotics and AI continues to attract attention from investors and Big Tech alike. The latest indicator? Dexterity, a startup specializing in industrial robots with "human-like" finesse, has raised $95 million at a post-money valuation of $1.65 billion, per Bloomberg. The investment, which includes backing from Lightspeed Venture Partners and Sumitomo Corp., highlights the growing demand for machinery powered by AI and comes amid a wave of excitement from companies like Meta and Apple, which are reportedly exploring investments into AI-powered humanoid robots, and startups like humanoid robot makers Figure AI and Apptronik that have recently secured enormous funding rounds to develop robots for a variety of tasks. As for Dexterity, its robots are designed to perform repetitive and sometimes dangerous tasks in warehouses and factories, such as loading boxes and sorting parcels, for customers that include FedEx and UPS. Founder and CEO Samir Menon -- whose last role was as a PhD student at Stanford -- tells Bloomberg the robots use specialized AI models, each focused on a specific task. The outfit has now raised nearly $300 million altogether.

AI-powered industrial robotics startup Dexterity raises $95M - SiliconANGLE

Dexterity Inc., a startup that develops industrial robots powered by artificial intelligence agents, has raised $95 million in funding to enhance its technology. Bloomberg reported the investment today. The round, which included contributions from Lightspeed Venture Partners and Sumitomo Corp, reportedly gives Dexterity a post-money valuation of $1.65 billion. That's up from the estimated $1.4 billion the company was worth following its previous raise in 2021. Redwood City, California-based Dexterity develops robots that can automate merchandise processing tasks at facilities such as logistics warehouses. The company says that its systems are powered by hundreds of AI agents that each focus on a relatively narrow task. An AI agent is a neural network that can perform actions with little to no human input. According to Dexterity, the agents that power its robots are coordinated by a software system dubbed Arbiter. The system prevents so-called edge case errors, mistakes that an AI makes when it encounters an unfamiliar situation or task. Arbiter also promises to mitigate other issues such as hallucinations. According to Bloomberg, Dexterity is currently developing an industrial robot dubbed Mech. The machine features two robotic arms and a mobile base that allows it to move between different sections of an industrial facility. On its website, Dexterity states that Mech can carry more than 130 pounds. The system has an arm span of more than 16 feet that allows it to perform complex merchandise processing tasks. An e-commerce company, for example, could use a fleet of Mechs to load and unload delivery trucks. Dexterity optimized the robot for demanding environments. According to the company, Mech can operate at temperatures ranging from 32 to 122 degrees Fahrenheit with up to 90% humidity. The system also lends itself to use in altitudes of up to 5,000 feet. Dexterity is promising a mean time between failures of ten years. When a malfunction occurs, fixing the Mech is relatively simple because some components can be swapped in the field. That speeds up the troubleshooting workflow, which in turn allows companies to recover from robot outages faster. Dexterity provides its robots alongside a digital twin platform. Customers can use the software to simulate the factories, fulfillment centers and other locations where they've deployed automation equipment. Dexterity says that such simulations make it easier to measure the productivity impact of robotic arms.