The vehicle chaired by Lord O’Neill is investing more than £3 million in Opteron, a University of Sheffield spin-off that pioneered the construction of autonomous robots by utilizing insect brain patterns.
The financing, which is being spearheaded by the Berlin-based fund Join Capital, represents a major milestone for both Opteron and Northern Gritstone, which seeks up to £500 million to support early-stage companies in northern England.
Opteron aims to establish a new standard for autonomous machines by emulating the brain capabilities of insects; in essence, the company claims that it will use 600 million years of evolutionary development on a silicon chip to enable machines to negotiate complicated visual and navigational challenges.
The Opteron Natural Intelligence system is anticipated to have a wide range of industrial uses, and the company plans to use the new capital to expand abroad, including the construction of a US office.
“By imitating Nature’s brilliance to enable machines to move like natural beings, we’re changing the worldwide market for machine autonomy,” said Opteran’s CEO, David Rajan.
We anticipate that Opteran Natural Intelligence will become the standard solution for autonomy anywhere on the ground or in the air, on any large or ultra-small machine, because it combines such sophisticated natural brain capabilities in a lightweight and efficient package.
Mr. Rajan stated that he wanted Opteron to become the “Facebook, Google, or Intel of the autonomous machines industry” and commended the University of Sheffield for preventing the company from being stifled by imposing an unrealistic business model.
It hopes to add natural brain decision-making for machines to its offerings in the coming year, and the business has also stated that it is working to bring hyperspectral vision, natural brain image identification, and dynamic learning based on environmental inputs.
Duncan Johnson, chief executive officer of Northern Gritstone, stated, “Opteran Technologies is precisely the type of firm that Northern Gritstone was established to assist.
“Opteron is a prime example of the exceptional science-led spin-offs we’re witnessing in the north of England. The company was founded at the University of Sheffield and has created ground-breaking innovative technologies.
“Autonomous vehicles and robots are key growth areas, and we believe Opteran’s platform has the potential to revolutionize this market across a broad variety of applications.”
During the investment round, IQ Capital, Seraphim, Episode 1, and Schauenburg Ventures were also investors.
Opteron raised $3 million in finance in 2020 and will likely require further funds to continue expanding in the future.
Sebastian von Ribbentrop, the founding partner at lead investor Join Capital, remarked that Opteron has “developed the artificial intelligence (AI) technology required to transform autonomous systems beyond their current limited use in confined settings to enable wider use.”
Opteron Natural Intelligence will be the differentiating factor for every industry deploying autonomous systems in machinery.
We are ecstatic to have such a worldwide disruptor in our portfolio.
For Northern Gritstone, the Opteron transaction is expected to be the first of many in the coming years, as the company seeks to support the commercial growth of some of the most innovative start-ups emerging from universities in Yorkshire, Lancashire, Cheshire, and the north-east.
Local authority pension funds in Yorkshire and Greater Manchester, as well as M&G Investments, Lansdowne Partners, and Andrew Law, CEO of hedge fund Caxton Associates, have invested in the vehicle as part of an initial £215m fundraising effort.
It wants to become one of the most prolific investors in intellectual property-rich enterprises and university spin-offs in the United Kingdom.
Lord O’Neill recently stated, “By investing in Northern Gritstone, fund managers are directly investing in the strongest economic prospects for Britain’s future.”
Northern Gritstone’s objective is to tap into one of the world’s premier pools of researchers, academic staff, and postgraduate students since the universities of Leeds, Manchester, and Sheffield have produced 38 Nobel Prize winners.
According to sources, it is considering up to 200 possible investment prospects.
It is estimated that its founding universities are responsible for approximately 10% of all patents and 20% of all intellectual property licenses submitted by UK higher education institutions.
Comparable university spin-offs, such as Oxford Science Enterprises, have developed into large corporations with “unicorn” valuations of at least $1 billion.
The new investment company, advised by bankers at Lazard, has picked a politically favorable atmosphere in which to debut, with significant government attention and resources focused on the leveling-up program articulated by Boris Johnson in his 2019 general election campaign.
