MODE, Inc. to Drive Global Expansion With Generative AI and IoT
With $8.75 million in Series B funding, company partners with customers to uncover valuable insights hidden in the real-world environment
SAN MATEO, Calif., April 9, 2024 (Newswire.com) - MODE Inc. (MODE), based in San Mateo, California, USA, led by CEO Gaku Ueda, and specializing in providing solutions that advance digital transformation at factories and construction sites through the power of the internet of things (IoT) and generative AI, announces it's closing $8.75 million in Series B funding. This round includes investments from SBI Investment Co., Ltd., True Ventures, JR East Startup Co., Ltd., and Daiichi Jitsugyo Co., Ltd.
Background and Purpose of Funding
Until now, MODE has been developing its business around the utilization of IoT technology for data utilization. In June 2023, MODE announced the development of "BizStack AI Assistant," integrating generative AI with IoT technology, evolving toward solutions that make data usage more efficient, and envisioning a future where AI works alongside people in industrial facilities, construction sites, and logistics.
With this round of funding, including contributions from existing customers such as JR East Start-Up Co., Ltd. and Daiichi Jitsugyo Co., Ltd., MODE aims to accelerate the development of "BizStack AI Assistant," a product that integrates generative AI with on-site data. MODE intends to address the issue of labor shortages on sites by creating an environment where humans and AI work together as a team. This funding round will also fuel expansion to the North American market, with regards to both customer acquisition and potential global partnerships.
Comments from our Investors
JR East Start-Up Co., Ltd., President Yutaka Shibata:
"Our encounter with MODE was through the 'JR East Startup Program,' which challenges startup companies and JR East to create new businesses. The pilot test conducted during the nighttime construction at JR Hamamatsucho Station is unforgettable. Understanding the situation of workers and heavy machinery is a critical issue for safety management, but the human burden is significant in railway construction work conducted intensively at night and over short periods. The breakthrough came with MODE's IoT platform, which uses sensors to acquire real-time location information of workers, track vehicles, and safety equipment, and integrates this information to realize a digital twin of the railway site that does not rely on visual inspection. Of course, their technological prowess is commendable, but what we truly admire is their attitude — sweating alongside us during nighttime construction, interacting with workers, and advancing system construction. MODE is an important partner for us. New digital transformation initiatives are progressing even now. We want to continue working closely with MODE to carve out the future of railway sites."
SBI Investment Co., Ltd., Deputy Manager Takuro Yamazaki:
"Since our initial investment in MODE in November 2022, MODE has been expanding its business foundation, creating cases across various industries and types of business, thereby enhancing its value as an IoT platform. Furthermore, as a major topic for 2024, they are significantly advancing the value of IoT by combining the structured IoT data accumulated through MODE's IoT platform with generative AI. With this additional investment as the lead investor, we strongly support MODE's efforts to evolve from an IoT that accumulates data to an IoT that utilizes data, and we have great expectations for realizing a data-driven society more swiftly."
True Ventures, Partner Emeritus, Om Malik:
"With the large language capabilities of generative AI and MODE’s BizStack AI Assistant, it will be far easier for customers to access their sensor data and glean insights that will enable more efficient work. Imagine managing a large warehouse or construction site with an entire network of sensor data and video surveillance. Instead of sifting through it all, you can ask a chat interface for exactly what you need. This is remarkable."
Daiichi Jitsugyo Co., Ltd., Electronics Business Division, Division Manager Keiji Yamamoto:
"In Japanese manufacturing, the urgent issue is the operation that combines both the efficiency of production and the maximization of equipment performance. Meanwhile, Japan's progress in digital transformation lags behind other countries, making the strengthening of digital transformation a crucial key. As a next-generation engineering trading company, we aim to be a catalyst for promoting digital transformation in the manufacturing industry. Through our investment, we will strengthen our collaboration with MODE Corporation, aiming to promote digital transformation in the manufacturing industry not only in Japan but also from a global perspective."
Comments from MODE Inc. CEO / Co-Founder Gaku Ueda
"Our company has been providing solutions that utilize on-site data from construction sites, manufacturing sites, and specialized warehouse facilities to enhance the daily operations of businesses. Although we are a software company, our members have donned helmets, rolled up their sleeves, and immersed themselves in the sites where our technology helps to uncover insights from the real-world environment. We are deeply grateful for the continued support from our investors."
About BizStack
BizStack is a solution-oriented IoT platform that accelerates the digital transformation of companies by collecting, storing, and utilizing data on people, objects, and the environment. It is an all-in-one solution that includes gateway, data infrastructure, and BI, allowing immediate use.
Source: MODE, Inc.
