Mitsubishi Electric invests in Formic Technologies to Enhance Customer Value
- Formic Technologies Inc. provides industrial robots as a service using a subscription model.
- Mitsubishi Electric's ME Innovation Fund has made eight investments to date, with this one targeting automation in response to labor shortages.
- The investment aims to create accessible automation solutions, enhancing efficiency in the manufacturing sector.
Mitsubishi Electric Corporation, a prominent company based in Japan, has announced its investment in Formic Technologies Inc., a startup located in the United States that specializes in industrial robotics. This funding, part of Mitsubishi's ME Innovation Fund, marks the eighth investment made by the fund. The collaboration aims to address challenges faced by the manufacturing and logistics sectors, particularly labor shortages that necessitate automation. Formic Technologies offers a subscription-based business model that significantly lowers the barriers to adopting industrial robots, as it tackles high upfront costs and the need for skilled labor. Their services encompass deployment, installation, and maintenance of automation systems, focusing on tasks such as palletizing and packaging. The investment aligns with Mitsubishi Electric's goal to create new, accessible business models for their automation solutions, thus facilitating the broader adoption of robotic technologies in industry.