Upload
others
View
1
Download
0
Embed Size (px)
Citation preview
1
A look at the industrial conglomerate of the future, and how startups are making change
June 2018
The industrial of the future
2
Contents
3
7
1 6
2 6
4 1
5 1
6 1
Upcoming trends
Trend 1: Industrial cybersecurity
Trends 2: Edge Computing + Identity of Things
Trend 3: Biology + 3D Printing
Trend 4: Computer Vision
Trend 5: The future assembly line
Appendix of mentioned startups
3
W H A T T O D O A B O U T I T
Upcoming trends in industrial tech
4
Hig
her
Cus
tom
er A
dopt
ion
Market Strength
Low
er
HigherLower
NEXTT Framework: tracking emerging trends
Market Strength measures future market sizing forecasts, venture capital investment, investor quality, and similar metrics
Customer adoption measures current market sizing estimates, usage and churn data, social media sentiment, news coverage, and similar metrics
Industrial Cybersecurity
Bioprinting
Edge & Identity
New Assembly Line
Industrial Computer Vision
5
Startups enabling the industrial of the futureA visualization of the companies and themes discussed in this report.
CB Insights Content
6
New Trends Summary: findings & implications
Findings Implications
Cybersecurity is transforming to handle industrial edge devices
Bioprinting is very nascent and unproven, but has massive potential
Computer vision makes a strong business case
Factories are planning for modularity
Startup opportunity is booming for this new computing paradigm, and industrial companies are poised to buy in
Today, it’s mostly in university labs, but a serious challenger could be on the horizon
Defects are too small for the naked eye (especially in electronics), and industrial robotics (currently booming) will also see transformation with better computer vision-based safety
Names like Audi are piloting startup technology, and expecting that modularity will yield greater efficiency than standard assembly lines
7
T R E N D 1
Industrial cybersecurity
8
Hig
her
Cus
tom
er A
dopt
ion
Market Strength
Low
er
HigherLower
NEXTT Framework: tracking emerging trends
Market Strength measures future market sizing forecasts, venture capital investment, investor quality, and similar metrics
Customer adoption measures current market sizing estimates, usage and churn data, social media sentiment, news coverage, and similar metrics
Industrial Cybersecurity
Bioprinting
Edge & Identity
New assembly line
Industrial Computer Vision
9
Honeywell Opens First Asian Industrial Cyber Security Center in Singapore
- ARC Viewpoints May 1, 2018
Industrial systems have proven vulnerable
10Cisco 2018 Annual Cybersecurity Report
Malware volume has boomed 11X since 2016
From 2016-17, threat researchers from Cisco discovered 224 new vulnerabilities on third-party devices, of which 74 (33%) were related to IoT devices.
11
Industrials face cyber damage but don’t change
N E A R L Y 1 / 3 R D O F M A N U F A C T U R E R S H A V E B E E N C Y B E R A T T A C K E D
28% of manufacturers in a recent survey said they saw a loss of revenue due to cybersecurity attacks in the past year.
B U T H A B I T S A R E N ’ T C H A N G I N G
Yet only 30% of executives said they’ll increase IT spend in the coming 12 months.
12
Good timing: C-suites are now showing interestMentions of “cybersecurity” on quarterly earnings calls. Q1’13 – Q4’17
CB Insights Content
Cybersecurity mentions
13
Dragos is an automated industrial cybersecurity company that sits on-premise with customers to provide them visibility into their assets.
The platform compiles and correlates suspicious events at a scale and speed that augments the work of human experts.
A U T O M A T E I N D U S T R I A L C Y B E R S E C U R I T Y
Funding
$22M
Comparable companies
$32M
CyberX
$18M$29M
Claroty Indegy
14
Mocana is developing a device-independent Smart Device Security Platform that secures all aspects of IP addressable devices as well as the information, applications, and services that run on them.
S E L E C T I N V E S T O R S
In-Q-Tel, GE Ventures, Symantec, Trident Capital
I T S E C U R I T Y F O R U N C A R P E T E D A R E A S
Funding
$85M
GE Ventures
Investment
15
Other names to watch
CyberX detects abnormal behavior by analyzing the operational behavior of the Industrial Internet.
S E L E C T I N V E S T O R S
Upwest Labs, ff Venture Capital, Flint Capital
I N D U S T R I A L C Y B E R S T A R T U P S
Claroty provides extreme visibility into the widest range of industrial control system devices using passive monitoring.
S E L E C T I N V E S T O R S
Mitsui & Co, Innovation Endeavors, Bessemer Venture Partners
Indegy provides real-time situational awareness, visibility and security for Industrial Control Systems (ICS) used across critical infrastructures
S E L E C T I N V E S T O R S
Aspect Ventures, Shlomo Kramer, Magma Venture Partners
16
T R E N D 2
Edge Computing & Identity of Things
17
Hig
her
Cus
tom
er A
dopt
ion
Market Strength
Low
er
HigherLower
NEXTT Framework: tracking emerging trends
Market Strength measures future market sizing forecasts, venture capital investment, investor quality, and similar metrics
Customer adoption measures current market sizing estimates, usage and churn data, social media sentiment, news coverage, and similar metrics
Industrial Cybersecurity
Bioprinting New assembly line
Industrial Computer Vision
Edge & Identity
18
More computation at the device level
Thanks to better hardware and software, more machine learning is possible at the device level, or the “edge” of the network. Peter Levine of a16z anticipates an end to cloud for AV, drones, and IoT objects.
Cloud computing latency has drastic downsides in IoT. Mission-critical systems such as connected factories can’t afford delay for certain connected machines.
Going to the edge
Source: A16Z
T H E N E W N E T W O R K P A R A D I G M
18
19
Edge devices numbers are booming in industrial areasIndustrial devices are slated to be the largest segment of IoT. Already, manufacturing spend is already 3X that of consumer IoT.
Source: WSJ, Economist
~18% YoY
20
Where we are now
The future of industrial devicesAs predictive insights get democratized (via GE Predix and other analytics suites), the final chapter of IIoT will center on autonomy, decision-making, and nearing the “lights-out” factory.
W H A T D O E S T O M O R R O W L O O K L I K E ?
Installing ‘things’ via retrofits and IIoT
Predictive insights
& digital twin
Autonomous responses
2121
Edge computing is a new era of IoT/ IIoT whereby intelligent machines make processing decisions locally vs. via a centralized cloud.
But we still don’t have security standards or fingerprinting.
Startups are developing tech to help identify and authenticate autonomous machines for ensuring data protection, availability, integrity, and privacy.
I O T & E D G E C O M P U T I N G P O S E S N E W S E C U R I T Y R I S K S
22
Intrinsic ID delivers device-unique data security and authentication solutions for the connected world.
Using proprietary SRAM technology, security keys and unique identifiers can be extracted from the innate characteristics of each semiconductor. Similar to biometrics measures, these identifiers cannot be cloned, guessed, stolen or shared.
C H I P - L E V E L F I N G E R P R I N T I N G F O R I O T
Funding
$6M
Comparable companies
$4M
MagicCube
$12M$10M
CloudPost Xage
23
Xage, formerly Sensify Security, offers a blockchain-based security fabric for industrial edge devices. Using blockchain principles like Shamir’s Secret Sharing, Xage’s layer creates a secure and tamperproof fingerprinting environment in which devices can operate.
S E L E C T I N V E S T O R S
GE Ventures, City Light Capital, March Capital Partners, Plug and Play Accelerator, The Hive
B L O C K C H A I N F I N G E R P R I N T I N G F O R I N D U S T R I A L D E V I C E S GE Ventures
Investment
Funding
$12M
24
XAIN began as a University of Oxford research project in 2014. As a universal access control protocol, Xain is looking to apply blockchain to the edge devices in industrial production and mobility.
S E L E C T I N V E S T O R S
Early Bird Venture Capital, Porsche Automobil Holding
E D G E P R O T O C O L F O R M O B I L I T Y A N D I N D U S T R Y
Funding
$7M
25
Other names to watch
Rubicon Labs develops secure communication products and protocols that utilize underlying hardware, device-level software, and cloud-based computing architectures designed for data center and IoT applications.
T H I N G - L E V E L I D E N T I T Y A N D S E C U R I T Y
ReFirm Labs is developing products to detect security vulnerabilities in firmware that runs on Internet of Things devices.
CloudPost Networks develops IoT security and risk-reduction solutions that protect business-critical devices and systems.
26
T R E N D 3
Biology + 3D printing
27
Edge & Identity
Hig
her
Cus
tom
er A
dopt
ion
Market Strength
Low
er
HigherLower
NEXTT Framework: tracking emerging trends
Market Strength measures future market sizing forecasts, venture capital investment, investor quality, and similar metrics
Customer adoption measures current market sizing estimates, usage and churn data, social media sentiment, news coverage, and similar metrics
Industrial Cybersecurity
Bioprinting New assembly line
Industrial Computer Vision
28
Early 3DP was a lot of smoke, little fireA R O U N D 2 0 1 1 , H Y P E F O R 3 D P R I N T I N G B U I L T U P
In 2009, IP on fused deposition modeling (FDM) expired, allowing low-end challengers such as MakerBot and Ultimaker to sell desktop 3D printing units below a then unheard-of $5K.
29
Today’s 3DP market is mostly industrial-scaleA collapse in consumer demand has led to a commercial-scale renaissance with startups like Carbon and Desktop Metal (both GE portfolio companies) taking center stage.
CB Insights Content
30
Tomorrow’s 10X technology includes biologyIt’s exotic now, but the vanguard of additive manufacturing is in university labs depositing cells.
31
What does bioprinting solve?
P r o b l e m : Tissues and organs are in extremely high demand in healthcare, often resulting in waiting lists and donor matching. Additionally, today’s meat and animal product industries have many negative externalities.
S o l u t i o n : Leveraging innovations in biology and regenerative medicine, bioprinting deposits cells in 3D, which can create tissues and organs from scratch. The technology has a long way to go, but in theory there is also no chance of rejection using the patient’s cells. And future biogenerated materials could be used in leather and meat production.
32
Bioprinting vs. traditional 3D printing
B I O P R I N T I N G S T E P S
1. Prepare a CAD file with 3D software
2. Take a postage stamp-sized sample of cells from patient (which can get turned into any type of cell)
3. Process cells into “bioink” and print into shape
4. Suture or surgically implant printed tissue onto human
T R A D I T I O N A L 3 D P R I N T I N G S T E P S
1. Prepare a CAD file with 3D software
2. Load plastic filament (the ink)
3. Print into shape
4. Post process (optional)
33
Less transplants, more implantsIn 2016, Wake Forest’s Institute for Regenerative Medicine announced success printing living tissue researchers designed over a decade, and indicate that the structures have the right size, strength, and weight to be used in humans.
Source: Wake Forest
‘ W E S T W O R L D ’ M E E T S A D D I T I V E
C A R O T I D A R T E R Y B L A D D E R L I V E R
34
L’ORÉAL AND POIETIS SIGN AN EXCLUSIVE RESEARCH PARTNERSHIP TO DEVELOP BIOPRINTING OF HAIR
- Loreal September 28, 2016
Biology and 3DP names are exploring bioprinting
35
Aspect Biosystems specializes in 3D bioprinting and tissue engineering. The company's proprietary Lab-on-a-Printer platform technology is enabling advances in understanding fundamental biology, disease research, development of novel therapeutics, and regenerative medicine.
G U T E N B E R G M E E T S H U M A N T I S S U E
Funding:
$22M
36
With a typical gantry and single extruder, Allevi’sdesktop design is a riff on consumer 3D printers. But the company’s printers can deposit collagen, protein inks, and biopolymers like PLGA. Right now, 90% of Allevi’scustomers are academics.
M A K E R B O T F O R L I F E S C I E N C E S
Funding
$2M
37
Based on 3D laser lithography, Prellis’ tissue printing creates layers of extracellular matrix containing cells, at ultra-fine resolution. Currently, the company is printing single layers of cells, as well as scaffolds for organs from the inside out.
S E L E C T I N V E S T O R S
SOSV, True Ventures, 415 Ventures, IndieBio, Plug and Play Ventures
C E L L A N D O R G A N P R I N T I N G
Funding:
$2M
38
Bringing innovations from collaborative robotics, Advanced Solutions is using a six-axis arm (now standard in industrial robotics) to deposit bioink in 3D. Its BioAssemblyBot can automate printing for tissue prototyping vascularized tissue.
S I X - A X I S C O B O T A R M F O R 3 D B I O F A B R I C A T I O N
39
Opentrons offers affordable, open-source lab automation tools that accelerate the biodesign process. Its OT-2 gantry design is very similar to a FDM desktop 3D printer, except used for automated pipetting and wetlab work.
S E L E C T I N V E S T O R S
Khosla Ventures, Y Combinator, Lerer Hippeau Ventures, HAX, SOSV
3 D P R I N T I N G G A N T R Y , E X C E P T F O R L A B A U T O M A T I O N
Funding
$17M
40
Multiply Labs leverages 3D printing to make made-to-order personal supplements and timed pill delivery. People can specify the duration of delivery for drugs like caffeine to take effect at the right time. The company claims to use patent-pending release technology developed at MIT and the University of Milan.
S E L E C T I N V E S T O R S
Y Combinator, Fenox VC, Graph Ventures
3 D P R I N T I N G P I L L S F O R C U S T O M I Z E D R E L E A S E
Funding
$2M
41
T R E N D 4
Computer vision
42
Edge & Identity
Hig
her
Cus
tom
er A
dopt
ion
Market Strength
Low
er
HigherLower
NEXTT Framework: tracking emerging trends
Market Strength measures future market sizing forecasts, venture capital investment, investor quality, and similar metrics
Customer adoption measures current market sizing estimates, usage and churn data, social media sentiment, news coverage, and similar metrics
Industrial Cybersecurity
Bioprinting New assembly line
Industrial Computer Vision
4343
“Quality means doing it right when no one is looking.”
Henry Ford, father of the assembly line
4444
But there are limitations to how much a human can be looking.
C O M P U T E R V I S I O N C A N H E L P F A C T O R I E S G E T L E A N
4545
“Despite huge investments in quality control, automakers recalled nearly as many cars as they
sold in the U.S. in 2012. Ford and GM made warranty payments of $5.7 billion in 2012, more than half of the $10.5 billion they reported in net
income.”
“ D O I N G I T R I G H T ” I S A M A S S I V E I N D U S T R I A L P R O B L E M
Jon Sobel, CEO Sight Machine (GE Portfolio Company) via Wired
46
Landing.AI aims to help enterprises transform for the age of artificial intelligence, focusing on the manufacturing industry. Through mid- and long-term strategic partnerships, the company provides in-house AI solutions, and has backing from founder Andrew Ng’s AI Fund.
I N D U S T R I A L C O M P U T E R V I S I O N , S T A R T I N G W I T H F O X C O N N
47
Instrumental makes easy-to-deploy inspection stations with computer vision software that helps engineering teams discover and fix issues quickly on the assembly line, whether they’re in development or mass production.
S E L E C T I N V E S T O R S
Eclipse Ventures, Root Ventures, First Round Capital
Q U A L I T Y A S S U R A N C E A T 5 0 A N D 5 0 , 0 0 0 U N I T S
Funding
$10M
4848
Machine vision will also enable safer factories
A U G M E N T I N G W O R K E R S A N D M A C H I N E S
49
Veo Robotics offers smart device sensing and control solutions to industrial robotics. Traditionally, heavy-duty robots are unsafe and need to be caged, but the company’s vision system allows these robots to be smart enough to work alongside humans.
S E L E C T I N V E S T O R S
Lux Capital, Google Ventures, Next47
M A K I N G B I G R O B O T S S A F E
Funding:
$13M
50
Upskill develops enterprise software for augmented reality devices in industrial settings. Upskill's Skylight software product runs on many types of devices, integrates with existing business systems, and is used today in a wide range of industrial operations including manufacturing, field service, repair, training, and compliance.
S E L E C T I N V E S T O R S
GE Ventures, Work-Bench, New Enterprise Associates, SalesForceVentures, Boeing HorizonX
A R R E L I E S O N C O M P U T E R V I S I O N T O M A P E N V I R O N M E N T S
Funding
$47M
GE Ventures
Investment
51
T R E N D 5
The future assembly line
52
Edge & Identity
Hig
her
Cus
tom
er A
dopt
ion
Market Strength
Low
er
HigherLower
NEXTT Framework: tracking emerging trends
Market Strength measures future market sizing forecasts, venture capital investment, investor quality, and similar metrics
Customer adoption measures current market sizing estimates, usage and churn data, social media sentiment, news coverage, and similar metrics
Industrial Cybersecurity
Bioprinting
Industrial Computer Vision
New assembly line
53
Today’s assembly lines vs. tomorrow’s modularity
A S S E M B L Y L I N E
• Low variety
• Predictable, repeatable jobs
• High standardization for mass production
M O D U L A R L I N E
• Many model varieties
• Variable process sequence
• Mass customization
5454
90% of auto makers in a BCG survey said they expect a
modular line setup will be relevant in final assembly by 2030.
55
Arculus offers a software and AGV (automated guided vehicle) platform to bring Modular Production into factories and warehouses with real-time visualization.
S E L E C T I N V E S T O R S
Audi
M O D U L A R I T Y P L A T F O R M F O R A U T O
56
Beyond auto: Amazon patenting robot grippers for modularity
Photos from a recent Amazon patent for a robotic manipulator that calls for a multi-tooled end effector to handle both heavy/durable items and be flexible for light/soft
goods. Designing systems for variability is a key tenet of modular production.
Patent: Robotic Gripper With Digits Controlled By Shared Fluid Volume
57
Vention is a browser-based 3D machine builder platform that enables designers to design and order their custom industrial equipment in a few days. The platform is suited for the design of fixed and automated equipment in the fields of small business automation, lean manufacturing, product validation and research, and industrial design.
O N - D E M A N D M O D U L A R E Q U I P M E N T
Funding:
$2M
58
Voodoo Manufacturing is a Brooklyn-based startup that uses commoditized 3D printing technology to manufacture plastic parts and products. The company produces anywhere from 1–10,000 parts in less than 2 weeks at injection molding prices.
S E L E C T I N V E S T O R S
KPCB Edge, Y Combinator, General Catalyst
3 D P R I N T S E R V I C E S + C O B O T S
Funding:
$6M
59
→
Single-manufacture plants & supply chain
T O D A Y :
Decentralized factory networks collaborating
T O M O R R O W :
60
Xometry is an on-demand platform for decentralized manufacturing that allows firms to upload 3D models for instant pricing, and then employs a wide network of CNC machining, 3D printing, urethane casting, and sheet metal fabrication.
S E L E C T I N V E S T O R S
GE Ventures, BMW i Ventures
D E C E N T R A L I Z I N G 3 D P R I N T S E R V I C E S
Funding
$30M
GE Ventures
Investment
61
Appendix: mentioned startups
Industrial CybersecurityDragosMocanaCyberXClaroty
Edge Computing + Identity of ThingsIntrinsic IDXageXainRubicon LabsRefirm LabsCloudPost Networks
Biology + 3D PrintingAspect BiosciencesAlleviPrellis BiologicsAdvanced Solutions Life SciencesOpentronsMultiply Labs
Computer VisionLanding.ai InstrumentalVeo Robotics Upskill
Future Assembly LineArculusVentionVoodoo ManufacturingXometry
62
cbinsights.com@cbinsights