Desktop Metal receives further $160 million investment to drive machine adoption
January 23, 2019
Desktop Metal, Burlington, Massachusetts, has announced the closing of a $160 million funding round, led by Koch Disruptive Technologies (KDT), to advance the global commercialisation and drive adoption of its metal Additive Manufacturing technology. Since its inception in 2015, Desktop Metal has received a total of $438 million in funding, said to be the largest total funding of any private AM company to date.
KDT, a subsidiary of Koch Industries, one of the largest privately-held companies in America, is an investment firm focused on finding and funding innovative and emerging technologies. In the last six years, the company has invested more than $17 billion into technology companies.
Chase Koch, President of Koch Disruptive Technologies, stated, “Desktop Metal’s 3D printing solutions can redefine prototyping and mass production of metal products, which has profound disruptive implications for manufacturers like Koch Industries. We are very bullish about the prospects of Desktop Metal, not just as an investor, but also as a customer and partner.”
Desktop Metal states that its Production System is the world’s fastest metal AM system for mass production, with over 400% productivity over the closest Binder Jetting alternatives and speeds more than 100 times faster than Laser Powder Bed Fusion (LPBF) systems currently in the market. Further, the Production System is designed to additively manufacture a range of alloys, including reactive metals such as titanium and aluminium, using metal powders reported to be 80% lower in cost than metals used in LBPF AM.
The Studio System, meanwhile, is described as the world’s first and only metal AM system which is able to build and sinter parts in an office environment. This system is now shipping in volume and is available through a global sales network of more than eight-five sales partners in forty-eight countries.
“We are at a critical juncture in the advancement of metal 3D printing and Additive Manufacturing,” commented Ric Fulop, CEO and Co-founder of Desktop Metal. “We are excited about Koch being an investor, customer and capability provider in this round. This new funding will fuel the continued development of our metal 3D printing technology and rich product roadmap, the scaling of operations to meet a growing demand of orders, and the financing of major new research and development initiatives. Combined, this will set us on a trajectory to become a global leader in metal 3D printing, a key pillar of Industry 4.0.”
Early customers of the Studio System include Ford, Stanley Black and Decker, Goodyear, 3M, Google’s ATAP, BMW, ProtoLabs, Owens Corning, L3, TerraPower, Medtronic, Continental AG, Applied Materials, TECT Aerospace, US Department of Defense, Department of Homeland Security, MITRE and leading educational institutions such as MIT, University of Texas, Texas A&M and Diman Regional Vocational Technical High School.
Additional investors in this Series E funding round include GV (formerly Google Ventures), Panasonic, and Techtronic Industries, as well as previous venture capital investors in the company, including Lux Capital, New Enterprise Associates (NEA) and Kleiner Perkins.