Advanced manufacturing tech funding fell by 58% quarter-over-quarter in Q1'23 while early-stage companies continued to draw investor interest.
Funding activity in the advanced manufacturing space plummeted in Q1’23, aligning with drops in the broader venture landscape.
Still, early-stage rounds accounted for nearly half of all deals in the quarter. This points to continued investor interest in emerging tech solutions focused on optimizing product development and reducing costs as companies grapple with ongoing supply chain disruptions.
Using CB Insights data, we assess the advanced manufacturing tech landscape in Q1’23, including:
- The continued decline in advanced manufacturing tech funding in Q1’23
- Early-stage deal share holding strong
- The companies that have raised over $1B in total funding
- Which country is dominating advanced manufacturing deals
- Where the $22B+ in funding has gone
- Which categories are growing as most others decline
- The most aggressive VCs and CVCs
Let’s dive in.
In Q1’23, funding to the advanced manufacturing space fell to its lowest amount since Q2’20, seeing a 58% decline quarter-over-quarter and a 72% drop from Q1’22. Deals also dropped by 38% QoQ.
The largest rounds in Q1’23 went to the following companies:
- Skydio, an autonomous drone manufacturer ($230M Series E)
- Boston Metal, which develops technology to decarbonize steel ($120M Series C)
- Apprentice, which offers a pharmaceutical manufacturing platform ($65M Series C-II)
- Zeda, a 3D printing company ($52M Series B)
Early-stage companies (angel, seed, and Series A stages) in the space saw 49% of deals in Q1’23. This highlights an active startup market pressuring legacy firms to innovate.
