Mitsubishi Electric Invests in Formic Technologies to Revolutionize Accessible Automation Solutions!

Mitsubishi Electric Corporation has announced a strategic investment through its ME Innovation Fund in Formic Technologies Inc., a U.S.-based startup specializing in the design, development, and maintenance of industrial robots offered via a subscription-based sales model. This marks the eighth investment made by the ME Innovation Fund to date, underscoring Mitsubishi Electric’s commitment to advancing automation technologies and making them more accessible to a broader range of businesses.

In response to the escalating demand for automation in the manufacturing and logistics sectors, driven by labor shortages, the deployment of industrial robots has surged. However, the high upfront costs associated with these technologies and the ongoing challenge of finding and training skilled workers have posed significant barriers for many companies. Formic Technologies addresses these challenges by offering comprehensive services that include the deployment, installation, and maintenance of automation systems using industrial robots for tasks such as palletizing and packaging. By utilizing proprietary software, Formic Technologies delivers optimized solutions tailored to the specific needs of small and medium-sized businesses. Furthermore, their unique financing model and subscription-based service significantly reduce the financial burden on customers, facilitating quicker and more efficient adoption of industrial robots.

Saman Farid, CEO of Formic Technologies Inc., expressed enthusiasm about the partnership, stating, “By combining Mitsubishi Electric’s products with Formic Technologies’ services and business model, we believe we can open up new markets. Leveraging Mitsubishi Electric’s automation technology, extensive experience, and strong presence in the manufacturing industry, Formic Technologies aims for further growth.”

Through its investment in Formic Technologies, Mitsubishi Electric aims to develop a new business model that transforms its automation solutions into more accessible formats for its customers. Satoshi Takeda, Executive Officer and Chief Digital Officer (CDO) responsible for Digital Transformation and Business Innovation at Mitsubishi Electric Corporation, commented, “Formic Technologies has built a one-stop business model that addresses the various challenges and needs of customers deploying robotic systems. By integrating this unique business model with Mitsubishi Electric’s automation solutions, we aim to provide new value to our customers.”

Since its establishment, Formic Technologies has been at the forefront of simplifying metal 3D printing and automation processes, making advanced manufacturing technologies accessible to businesses of all sizes. Their approach not only enhances operational efficiency but also supports sustainability by reducing resource consumption and minimizing waste through optimized automation solutions.