KONUX raises $7.5m in Series A funding from top Silicon Valley VCs The industrial IoT startup helps companies to reduce maintenance costs with AI sensor solutions.
KONUX, the Munich-based industrial IoT company, today announced $7.5m in Series A financing from leading venture capital firm New Enterprise Associates (NEA), the largest German industrial VC MIG (lead) and Silicon Valley legend Andy Bechtolsheim. Additional investors include UnternehmerTUM, Warren Weiss, and Michael Baum, KONUX Seed Investor Founding CEO of Splunk. KONUX is developing smart sensor systems for industrial companies and helps them reduce maintenance costs with artificial intelligence. The new funding will be used to expand the product platform, roll out products in volume for new and existing customers and establish KONUX as the leading company for machine insights.
“Industrial companies are facing increasing challenges related to machine efficiency and maintenance expenses,” said Andreas Kunze, CEO of KONUX. “We believe the real impact and the toughest challenges of IoT are in the industrial world. We have designed solutions that allow for complete digitalization of manual measurements and comprehensive sensor data tracking and analytics, with the ultimate goal to shift from unplanned maintenance to predictive maintenance. As a consequence, our customers benefit from a reduction of maintenance cost 25%+ and an increase of machine uptime.”
“KONUX has tremendous experience with sensor solutions in industrial settings and can provide unique insights by combining sensors with cloud-enabled analytics,” said Greg Papadopoulos, Ph.D., Venture Partner at NEA and former CTO at SUN Microsystems. “Other solutions tend to focus on either the analytics layer or the manufacturing of sensor components; KONUX’s vertical approach and use of AI are unique differentiators.
Industrial companies are spending billions of dollars on maintenance with European railway track companies alone spending $25bn annually for infrastructure maintenance (1). The market opportunity is enormous.” Since initial inception in the end of 2014, KONUX has experienced powerful traction and acquired multiple customers including major customer Deutsche Bahn, one of the world’s leading passenger and logistics company operating in 130 countries across the globe. Deutsche Bahn invests more than $1.6bn per year in infrastructure maintenance (2). To digitalize their infrastructure, reduce costs and increase safety and quality they started working with the KONUX solution. “KONUX is one partner on our essential road to infrastructure 4.0,” said Klaus Müller, Chief Technology Officer, Deutsche Bahn Netz AG.
“The KONUX team is combining the strengths of two technology hubs in a unique way: The speed and innovation of Silicon Valley with exceptional young digital natives and the quality and precision of German engineering with experienced experts,” said Dr. Sören Hein, MIG, Partner and former VP of Infineon. “I am looking forward seeing the team transform the industrial world!”
Source: KONUX Inc.