Baraja Secures $31M in Series B Funding for LiDAR Technology

Baraja Secures $31 Million to Advance Innovative Lidar Technology

While numerous lidar companies are pursuing public offerings via SPACs, Baraja, an Australian lidar manufacturer, is taking a different approach. The company has recently completed a $31 million Series B funding round to further the development and implementation of its distinctive imaging system. This investment includes participation from a diverse range of investors, extending beyond traditional venture capital firms.

Spectrum-Scan Technology: A Unique Approach

Baraja’s lidar technology utilizes a method called Spectrum-Scan, which leverages the principles of physics to efficiently direct light. A laser beam is passed through a prism, causing different wavelengths to travel in separate directions. Upon reflection, the light retraces the same path. A more detailed explanation of this process can be found in a previous article covering Baraja’s presentation at CES last year.

The company has continued to innovate even as the widespread adoption of autonomous vehicles – a primary application for lidar – has progressed at a slower pace than initially anticipated. As co-founder and CEO Federico Collarte stated in 2020, differentiation is crucial for survival in the lidar industry.

Expanding Beyond Automotive Applications

It has become apparent that lidar technology possesses significant value across a multitude of industries. However, many existing lidar systems incorporate intricate mechanical components susceptible to environmental influences like temperature fluctuations. Baraja’s design, featuring only one slowly moving part within the optical system, demonstrates superior resilience and long-term stability.

Mining has emerged as a key market for Baraja, and for good reason. The creation of precise 3D maps of mining sites presents a considerable challenge for both human surveyors and conventional cameras, but is ideally suited for lidar technology – provided the lidar can endure the harsh conditions inherent in mining operations.

Collarte highlighted the durability of their units, stating, “We’ve had units in mines in the Australian desert for two years. One unit returned for RMA – our units are painted an electric blue – the paint was totally eroded, revealing bare metal, but the device continued to function.”

The device’s ability to withstand extreme conditions is attributed to the placement of sensitive components, such as the laser and receiver, within the machine’s body, connected via fiber optic cables to the robust lens and prism elements.

Strategic Investment and Long-Term Vision

The successful collaboration with Hitachi Construction Machinery led to a direct investment from the company.

This investment aligns with Collarte’s strategy to broaden the company’s investor base, seeking partners with a long-term perspective. He emphasized the importance of attracting “institutional investors,” citing HESTA, a pension fund, as an example of the type of backer they are pursuing alongside venture capitalists. Existing investors, including Blackbird Ventures and Main Sequence Ventures, also participated in this funding round.

The $40 million AUD translates to $31 million USD, slightly less than the $32 million USD raised in their Series A round in 2018, but does not represent a down round.

Focus on Commercial Viability

Collarte stressed the importance of operating as a commercially viable business, rather than solely focusing on research and development. “If you’re working just on technology, you won’t have sales and customers today,” he explained. “We have revenue and real-world applications – we’re exercising those muscles. We’re getting good at customer support, installation, warranty, and failure modes.”

Beyond mining, shipping is another sector where lidar can be subjected to demanding environments. A major Australian port is currently utilizing Baraja units as part of its autonomous operations initiative.

Future Development and Miniaturization

Continued research and development remain central to Baraja’s plans. Short-term goals include offering an integrated “one-box” system to simplify integration for vehicle manufacturers and suppliers. Long-term, the company aims to fundamentally evolve the system’s architecture.

“We come from a background in telecom, and they’ve moved from bulk optics into photonics and integrated circuits. So we’ve always had that in mind,” said CTO and co-founder Cibby Pulikkaseril. “My roadmap is to get these onto chips so that it doesn’t look any different from any other chips in the vehicle.”

Collarte acknowledged the challenges of miniaturization, particularly for the scanning mechanism in lidar systems, which often requires a specific size and range of motion. He expressed confidence in their progress toward a unique solution based on their Spectrum-Scan methodology.

The coming year is expected to be pivotal for Tier 1 suppliers and companies striving for Level 4 autonomy. While many lidar companies have chosen to go public through SPACs, Baraja is not currently pursuing this path.

“It’s something we’re keeping an eye on,” Collarte stated, “But we’re not in a rush.”

In addition to the investors previously mentioned, the funding round included participation from Regal Funds Management, Perennial Value Management, and InterValley Ventures.