Investments in robotics are accelerating following a slowdown post-pandemic

The latest data from Crunchbase reveals a positive trend in robotics investments, marking a rebound after a dip in the previous two years. Following a record-setting 2021 fueled by pandemic-related job losses, 2024 is poised to surpass last year’s figures.

In the first half of 2024, robotics attracted $4.2 billion in investments, setting a pace to exceed the $6.8 billion total for all of 2023. While this year’s numbers still fall short of the peak seen during the COVID-19 pandemic in 2021 ($17.7 billion) and even 2022 ($10.3 billion), it signals a recovery from economic challenges and post-pandemic reopenings that impacted the industry.

The humanoid robotics category has been particularly hot, with Figure leading the way with a significant $675 million Series B round. Another notable investment came from 1X, a Norwegian firm backed by OpenAI, which raised $100 million.

Medical robotics also saw robust investment activity, boosted by substantial rounds from MMI and Rono Surgical. However, the primary driver remains labor replacement in sectors such as warehouses and factories, where automation addresses challenges in filling jobs.

The ongoing demand for automation solutions combined with sustained interest in AI is expected to support continued growth in robotic startups. Yet, reaching the investment levels seen in 2021 may require exceptional circumstances like another significant global disruption.