Goodyear & Porsche Invest in Tactile Mobility - Virtual Sensing

Tactile Mobility Secures $27 Million in Series C Funding

Tactile Mobility, an Israeli startup, leverages data from a vehicle’s existing sensors to create a “feel” for the road. This capability generates valuable insights regarding both the vehicle’s condition and the road surface itself, all through its innovative cloud platform.

On Wednesday, Tactile Mobility announced the successful completion of a $27 million Series C funding round. These funds will be allocated to the continued refinement of its virtual sensors, the expansion of its product portfolio, and the enhancement of its cloud platform.

Investment Details and Future Growth

The funding round, increasing Tactile’s total funding to $47 million, was spearheaded by Delek Motors. Strategic investments were also made by Goodyear Ventures and Porsche Ventures, with additional support from Union Group, The Group Ventures, Zvi Neta (AEV), Giora Ackerstein, and Doron Livnat.

According to Shahar Bin-Nun, CEO of Tactile Mobility, the company anticipates hiring up to 20 new personnel in Research and Development (R&D) this year to facilitate these growth initiatives.

Core Business Model: Data Acquisition and Monetization

“Essentially, our business is structured around two core components: data acquisition and data monetization,” explained Bin-Nun. “We acquire data using a unique software solution known as the Tactile Processor (TP), which is integrated into the vehicle’s engine control unit.”

The TP enables the creation of numerous non-visual virtual sensors for automotive manufacturers, primarily enhancing vehicle safety, performance, and the overall driving experience.

The Tactile Cloud Platform

Tactile’s business model also centers on its cloud platform, Tactile Cloud (TC). This platform receives data from the virtual sensors, which is then used to generate detailed “tactility maps.”

These maps describe either the unique characteristics of a vehicle or the condition of the road surface. They can then be sold to a diverse range of clients, including OEMs, transport authorities, municipalities, insurance providers, tire manufacturers, and Tier 1 suppliers.

Key Virtual Sensor: Tire Grip Estimation

Among the 23 virtual sensors currently utilized by Tactile in vehicles, a prominent example is its tire grip estimation system developed in collaboration with BMW. This system accurately measures the grip between the tire and the road surface during vehicle operation.

Currently, Tactile’s TP is integrated into 2.5 million BMW vehicles annually, resulting in millions of vehicles passively collecting road surface data for the company.

Road Condition Mapping and Real-Time Insights

By measuring tire grip, Tactile can map road features such as potholes, cracks, slipperiness, and snowfall. This information can be delivered in real-time to other vehicles in the area, alerting drivers to potential hazards and improving overall road safety.

Furthermore, analytical reports can be shared with third parties, like mapping companies, road maintenance authorities, or fleet managers, to pinpoint areas requiring road repairs.

Revenue Sharing and OEM Partnerships

Tactile operates on a revenue-sharing model with its OEM partners, allowing it to monetize the data collected through its cloud platform. Bin-Nun stated that the startup has completed over 30 proof-of-concept projects and pilot programs with seven OEMs.

However, production-level integration has currently been achieved solely with BMW.

Scaling Operations and Expanding Sensor Capabilities

“Previously, with a team of 25, our capacity for expansion was limited,” Bin-Nun noted. “Our focus was heavily concentrated on the implementation and integration with BMW, ensuring compliance with their rigorous requirements.”

“Now, with a team of 40, we aim to work concurrently with multiple OEMs.”

New Sensor Development and Customer Offerings

This expansion also involves the development of additional sensors, enabling Tactile to offer a broader range of services and insights to its customers. For instance, several OEMs are interested in assessing tire health.

Tactile claims it can precisely measure tire tread depth while the vehicle is in motion, providing OEMs with information regarding tire replacement needs or recommending appropriate driving styles based on tire type and terrain.

Goodyear’s Investment and Tire Health Sensors

“Goodyear’s investment was partly driven by our ability to accurately determine tire stiffness,” Bin-Nun explained. “They conducted tests with us immediately following their investment.”

“The tire health family of virtual sensors is a crucial area of development for us. Other OEMs have expressed interest in features like weight estimation and center of gravity, which our virtual sensors can detect and refine using machine learning and signal processing.”

Additional Sensors and Future Goals

Other sensors include those for detecting aquaplaning, assessing vehicle health, and identifying micro-collisions. With the Series C funding, Tactile intends to further develop these sensors to enhance its appeal to OEMs.

The startup’s ultimate goal is to integrate its technology into every major OEM, generating a substantial volume of data for analysis and monetization, and supporting the advancement of emerging technologies like autonomous vehicles.

Industry Perspective

“Connected and autonomous driving are fundamental to the future of both people and goods transportation,” stated Abhijit Ganguly, Managing Director at Goodyear Ventures. “Tire data is essential for improving the safety and efficiency of these technologies.”