Lacuna Raises $16M Series A for Digital Twin City Mobility

Lacuna Technologies Secures $16 Million in Series A Funding

Lacuna Technologies, a company specializing in digital tools for urban transportation management, has successfully completed a $16 million Series A funding round. This investment elevates the total funding received by the startup to $33.5 million.

Developing Digital Twins for Cities

Since its inception in 2018, Lacuna has been dedicated to assisting cities such as Los Angeles, Seattle, and Miami in the creation of digital twins. These are essentially software-based replicas of real-world urban environments, encompassing all modes of transportation – from conventional traffic to delivery services, rideshares, and even drones.

These models empower city planners and transportation authorities to monitor existing conditions and enact new regulations. Furthermore, they facilitate simulations, providing valuable insights into the potential impacts of various policies on issues like congestion, pollution, accessibility, and overall safety.

Expansion Plans and Application Development

According to Hugh Martin, CEO of Lacuna, the newly acquired funds will be primarily allocated to expanding into new markets and enhancing the applications built upon these digital twins. This includes functionalities like dynamically adjusting parking rates for freight and delivery vehicles based on demand, or establishing limits on the number of drones permitted to operate within specific airspace.

A key initial step involves expanding engineering teams to construct these digital twins and integrate applications, ultimately enabling cities to generate revenue.

The Future of Transportation Funding

Martin highlights the impending decline of gasoline tax revenue, a traditional funding source for transportation departments at all levels of government. He stated, “The gas tax has served as a useful metric, but a new approach to effectively monetize the public right of way is essential.”

He further defines the “public right of way” as encompassing not only two-dimensional space but also the third dimension – the airspace utilized by drones and aerial taxis – and the need for real-time policy communication with these devices.

Bridging the Gap Between Physical and Digital Urban Spaces

Martin points out a disparity between how cities manage the physical infrastructure and how new mobility companies operate. Companies like Uber and FedEx are developing their own digital models of cities, operating independently, and without providing access to city authorities.

“A truly powerful solution would involve cities possessing a digital counterpart of themselves, complete with digital policies that all operators could utilize,” Martin explained.

Operational Focus and Proactive Planning

Lacuna’s services prioritize operational functionality over reliance on historical data. Unlike platforms like Waze, which reactively reroute traffic based on congestion, potentially overwhelming residential streets, Lacuna’s digital twins allow cities to proactively manage traffic flow.

For instance, a city could limit the number of vehicles Waze reroutes onto a narrow residential street, preserving the quality of life for its residents.

Empowering Cities with Policy Enforcement Tools

“Our core goal is to equip cities with the necessary tools to ensure compliance with their policies by all users of the public right of way,” Martin emphasized.

Successful Implementation in Los Angeles

In 2019, Lacuna collaborated with Los Angeles to address issues with its scooter fleets. Venice Beach, in particular, was experiencing significant disruption due to scooters obstructing the boardwalk and beach.

Lacuna implemented a geofence 200 feet from the boardwalk. After a two-month grace period, the city warned scooter operators that non-compliance would result in a reduction in the number of scooters permitted on city streets.

Digital Compliance and Regulatory Updates

To enforce this policy, the city council revised the requirements for scooter permits, mandating compliance with the city’s mobility data specification program. This required operators to digitally transmit and receive information.

“The results were remarkable,” Martin stated. “Scooters are now neatly aligned 200 feet from the boardwalk, and the city achieved this with just 15 lines of code, eliminating the need for extensive manual enforcement.”

Investment Details and Board Addition

The funding round was spearheaded by Xplorer Capital Management, with participation from Playground Global, JetBlue Technology Ventures, and Lauder Partners. Keith Nilsson, MP and co-founder of Xplorer, has joined Lacuna’s board of directors.

Note: This article has been updated to reflect a comprehensive list of investors involved in this funding round.

Source: https://techcrunch.com/2021/06/17/mobility-startups-can-be-equitable-accessible-and-profitable/