New Investment Opportunity: 3d Signals

New Investment Opportunity: 3d Signals

Tech-powered digitization of legacy factory machines

AI-powered IoT platform optimizes pre-digital, brownfield machine operations in factories and production facilities, increases yield of existing machines by up to 30%
20 customers in automotive, energy and production industries, 190% NDR
Customer reports saving €800K a year; another reports winning unplanned €4M PO due to increased capacity; another reports 30% productivity improvement
Forecasting over 400% ARR growth to ~$4M by end 2022 based on current expansion plans
No major competition in brownfield space, 80% of factory floors worldwide use brownfield machines
$12M Series C led by SOMV Momentum Fund, $4.5M already raised

BOOK A CALL
with your Investor Relations representative

Dear Josb,

Industry 4.0, the next industrial wave, harnesses the power of connectivity and AI to drive dramatic improvements in productivity. The world's currently installed, pre-digital legacy manufacturing base is largely excluded from this revolution.

OurCrowd is investing in 3d Signals, an Israeli startup whose integrated hardware/software product connects existing pre-digital manufacturing machines to a cloud-based, AI-driven platform. It provides immediate visibility into the production floor, transforming data into actionable insights with concrete results. The details in this email are based on information received from, and verified solely by, the company.

The problem
An industrial transformation - Industry 4.0 - is underway. Production machines are continuously monitored and connected, harnessing the use of AI to optimize processes and detect equipment in danger of failure, increasing productivity, reducing downtime, lowering costs, and saving energy. Most of the action in Industry 4.0 is focused on greenfield facilities, where the new technology is built in to modern, connected factories. Existing legacy brownfield industrial capacity - some 80% of factory floors - is excluded. Only 8% of the world's 64 million industrial machines are connected to anything but power.

3d Signals focuses on brownfield facilities where the company has no major competitors. Current solutions for existing production equipment mostly come from manufacturers, and they only work with their own machines. Most production floors use a mix of equipment from different manufacturers, rendering it difficult or impossible to connect everything.

The solution
3d Signals' platform is hardware agnostic and can work with over 50 different brands of equipment. The company's product provides the simplest, fastest, and most cost-effective way to connect, generate, and integrate all manufacturing data in one place. An entire factory can be brought online in less than a week.

AI-driven analysis of the manufacturing equipment provides actionable insights leading to proven improvement within two to three months, increasing yields of existing machines by at least 30%.

Customer feedback
Customers report impressive results.

One customer reports saving €800,000 in labor costs with a 14% reduction in energy usage
Another reports winning an unplanned €4M PO due to increased capacity
Another saw 30% machine availability improvement in less than four months

The CEO of one customer said, "Medium and small businesses must move forward in today's world. It's not the biggest that survives, but the fastest."

Traction
3d Signals has 20 customers in the automotive, energy, worktools and machinery industries, with a 190% net dollar retention rate.

The company forecasts over 400% ARR growth to ~$4M by the end of 2022 based on current expansion plans.

The round
This $12M Series C round is led by SOMV Momentum Fund, with $4.5M already raised. The company plans to use the funds to expand and grow within existing customers and add new logos in Europe and US.

Meet the CEO
We're hosting a webinar/conference call on Sunday, May 29th, at 5PM Israel / 10AM New York / 7AM San Francisco for investors to meet CEO Ariel Rosenfeld and learn more about 3d Signals.

Can't make the webinar? Register and we will send you a recording of the call.

The 3d Signals solution
3d Signals' hardware consists of non-invasive sensors that report machine activity in real time. The sensors are connected to the company's Internet of Things (IoT) computer, which uploads the data to the cloud.

3d Signals' proprietary AI-driven algorithms analyze and visualize the data, providing actionable insights. Customers have a management dashboard that provides an overall view of the entire organization, with drill-down capabilities. Customers have real time availability status of every machine on the production floor with tools for downtime optimization and data-driven decision making.

Next steps:

Certain information in this email contains "forward-looking information" under applicable securities laws ("forward-looking statements"). These may include, among others, projected performance; expected development of the company's business, projects and partnerships; execution of the company's vision and growth strategy; and the like. Forward-looking statements are not guarantees of future performance and should not be relied on in any way.

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