Augury, an Israeli startup that develops AI-based technology to detect malfunctions in factory machines, has raised $75 million in a Series F funding round. The investment values the company over $1 billion, making it a ‘unicorn’ in the tech industry. The funding was led by Lightrock, with participation from existing investors Insight Partners, Eclipse Ventures, Qualcomm Ventures, SE Ventures, and Qumra Capital.
Augury plans to use the funds to onboard new customers and further enhance its technology, which uses sensors to measure vibrations, sound, temperature, and other factors in machinery. CEO and founder Saar Yoskovitz stated, “We have by far the largest dataset of mechanical signals.” He referred to this vast trove of information as “the malfunction dictionary.” Augury has monitored over half a billion hours of machine operations across various equipment from numerous manufacturers. Since its last funding round in 2021, Augury has seen significant growth.
The company’s revenue has increased five-fold, and its client base has expanded to include major manufacturers like PepsiCo, Nestlé, and Dupont, as well as several gas and energy companies through strategic partnerships. The COVID-19 pandemic highlighted the importance of robust supply chains and accelerated digital transformation in various sectors, including industrial manufacturing.
Augury’s growth and new funding
Augury’s technology addresses this by embedding sensors within or alongside machines to collect data and train algorithms that detect malfunctions, guiding factory workers in making necessary repairs. Paul Murphy, a general partner at Lightrock, emphasized the importance of sustainability in investment decisions, noting that startups must balance sustainability with solid business practices. Ashish Puri, a partner at Lightrock, highlighted Augury’s ability to marry productivity with a green approach, as extending the lifespan of factory equipment aligns with sustainable ideals.
Alongside the funding announcement, Augury has appointed Elan Greenberg as Chief Operating Officer. Greenberg brings extensive experience from similar roles at DoorDash and Flock Safety. Yoskovitz added, “This funding round brings us to profitability, and while we don’t plan to use all of it, it will support our rapid growth.
We expect to reach $100 million in annual recurring revenue (ARR) in the coming year. An IPO is on the horizon, but we will move forward when the company and the market are ready.
Image Credits: Photo by airfocus on Unsplash
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