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TC Sessions: Robotics Returns to the East Coast

I’m pleased to announce that TC Sessions: Robotics will be held next year, with a return to the East Coast! This decision follows considerable advocacy, driven not solely by personal convenience, but by the burgeoning robotics activity in the region.

While Berkeley has served as a fantastic host in the past – and holds a special place for me – the concentration of innovation on the East Coast warrants this shift. We originally held the first event in Boston back in 2017.

Reflecting on Past Events and the Future

The 2020 event in Berkeley was a resounding success, occurring just before widespread disruptions. This year, an in-person Robotics Session wasn’t feasible, as the nature of the event is best experienced firsthand – particularly given its focus on robots.

The next event is scheduled for the Hynes Convention Center on July 22, 2022. Further details will be shared as they become available, and I will continue to promote the event in the coming months.

The Defining Trend of 2021: Widespread Deployments

The most significant trend in robotics, AI, and automation during 2021 was the sheer volume of deployments. Driven by factors like safety concerns, labor shortages, and the increasing need for automation, numerous robots and robotic systems were implemented across various industries.

Looking Ahead to 2022: Integration Challenges

The increase in deployments will inevitably lead to greater integration challenges in 2022. Companies will prioritize seamless operation between their robotic fleets.

This necessitates communication between robots from different manufacturers, a demand driven by customer expectations. Historically, compatibility issues existed even between different computer operating systems; robotics is currently facing a similar hurdle, though the necessary tools for integration are now available.

Warehouse and Fulfillment Robotics: The Amazon Effect

My predictions regarding warehouse and fulfillment robotics have been validated by investment trends. The primary driver behind this growth is undeniably Amazon.

Every company in the online retail sector – and increasingly, the parcel delivery industry – is grappling with the challenge of competing with Amazon’s expansive reach. Robotics and automation offer a potential pathway to gain a competitive advantage, though Amazon itself has established a leading position in this space.

Amazon’s Robotic Footprint and Investment Activity

Recent estimates place Amazon’s robotic workforce at approximately 350,000 units, a number that continues to grow. The desire to compete with Amazon’s automated capabilities has fueled substantial investments in robotics.

For example, Symbotic recently secured $725 million in funding through a SPAC merger, resulting in a pro forma equity value of around $5.5 billion. This was bolstered by a vote of confidence from Walmart, who announced an expansion of a pilot program to incorporate Symbotic’s automation into 25 distribution centers.

Walmart is also an investor in Symbotic, and is projected to own 9% of the company if the deal finalizes in the first half of next year. This demonstrates strong support from a company keenly aware of the need to counter Amazon’s dominance.

The Impact of the Pandemic and Supply Chain Issues

The COVID-19 pandemic has accelerated the adoption of automation, contributing to the decline of brick-and-mortar stores. Workforce shortages, shutdowns, and health concerns have prompted companies to seriously consider automating their operations.

Furthermore, ongoing supply chain disruptions – a concern highlighted even by musicians like Jack White – are driving increased investment in parcel automation and a potential re-evaluation of localized manufacturing strategies.

Recent Investments and Acquisitions

Berkshire Grey also announced a SPAC deal, following a $263 million funding round. Locus Robotics has secured significant funding, while Fetch Robotics was acquired by Zebra Technologies. Founder Melonee Wise emphasized the continued importance of these developments.

Global Trends in Robotics Investment

While the U.S. market is prominent, similar investment trends are occurring in Europe and Asia. Beijing-based ForwardX, for instance, recently raised $31 million in a Series C round, bringing its total funding to approximately $100 million.

Given China’s large population and its role in the global supply chain, further substantial investments in robotics are anticipated.

The Role of Exoskeletons and Cobots

Exoskeletons, while not exclusively fulfillment tools, are becoming increasingly important. Wearable robotics, such as the fifth-generation Cray X from German Bionic, will play a significant role in the future of work.

The continued need for human workers will drive the adoption of both collaborative robots (cobots) and augmentation tools like exoskeletons, which have experienced a strong year, including the acquisition of SuitX by Ottobock and Sarcos’ announced SPAC plans.

Innovative Applications: Stanford’s Gecko-Inspired Gripper

Stanford University’s gecko-inspired robotic gripper, deployed to the International Space Station, continues to demonstrate its versatility. The FarmHand application highlights its ability to handle fragile objects like eggs and fruit.