Teraki Raises $11 Million for Growth in Automotive and IoT Markets

According to a recent announcement, Teraki has closed $11 million in Series A funding with the aim of addressing the problem of exploding data demand in tightly constrained electronics components such as those embedded in automotive systems. This new financing brings the total capital invested to $16.3 million.

The company’s AI and edge data processing software reportedly makes applications and algorithms run 10X more efficiently in cars and Internet of Things (IoT) devices, while preserving the data quality and accuracy required for training and running machine learning models. Teraki says it also enables edge devices to do more without increasing hardware resource requirements and costs.

The round was led by Horizons Ventures, joined by State Auto Labs Fund - managed by Rev1 Ventures; Bright Success Capital; and Castor Ventures. Existing investors Paladin Capital Group and innogy Ventures also participated.

The company said it plans to use the investment to accelerate its current focus on the automotive electronics market, and to expand into IoT, drones, robotics and other sectors.

“We will use these funds to propel Teraki into new areas outside of automotive with significant recurring revenues as clients start large scale deployments of our technology,” said Dr. Daniel Richart, CEO and co-founder, Teraki. “These funds will also enable us to fulfill demand from our existing automotive manufacturing and supplier customers for high volume production series orders.”

“We are impressed with what the talented team at Teraki has delivered and achieved,” said Jonathan Tam, Horizons Ventures. “As sensors and devices continue to collect more data to enrich AI algorithms, efficient data processing will be a crucial part of the technology stack. We believe Teraki’s technology will become the backbone for the future of AI on the edge.”

Other reported planned uses of the funds include further growing the current team of 40 employees, expanding into the U.S. and Asia, and accelerating the product roadmap. As part of the expansion into Asia the company recently opened offices in Seoul and Tokyo.