News: Keyframe leads PassiveLogic’s $16M Series A
Keyframe recently led PassiveLogic’s $16 million Series A round. PassiveLogic provides an autonomous building controls platform, designed to help close the operational efficiency gaps that exist in buildings today.
Below is a re-print of the press release from the Cision website, which can be found here.
PassiveLogic Secures $16 Million in Series A Funding to Launch First Autonomous Building Platform and Standard
Keyframe Capital and Addition lead round for innovative firm making autonomous system technology accessible for the first time
NEWS PROVIDED BY PassiveLogic
Oct 14, 2020, 08:41 ET
SALT LAKE CITY, Oct. 14, 2020 /PRNewswire/ -- PassiveLogic, creators of the first fully autonomous building controls platform, today announced that the company has received $16 million in funding. Leading the Series A round are venture capital funds Keyframe Capital and Addition. Physical infrastructure innovation is one of the core segments that Keyframe invests in, and Addition invests in early and growth stage companies around the world. Other investors include RET Ventures, A/O Proptech, and NREP, representing the commercial real estate industries in the U.S. and Europe.
The US Department of Energy (DOE) follows the Series A raise with a $1.1M contract to define an industry Digital Twin technology standard for next-generation automation systems. Additional backing for the standard comes from Swiss HVAC component manufacturer Belimo.
PassiveLogic was founded in 2016 by Troy Harvey and Jeremy Fillingim to bring autonomous controls advancements from self-driven vehicles to the larger buildings market, with the vision of democratizing the technology so that users can design their own custom autonomous systems, without needing an engineering team. PassiveLogic's autonomous building systems can be installed in new buildings or retrofitted in one-tenth the time of conventional HVAC controls and can reduce energy consumption by 30%, which is significant considering buildings use 40% of energy and 70% of the electricity produced.
PassiveLogic's platform enables autonomous systems technology for any building, architecture, or controlled system, without data science expertise or AI training time. Before now, autonomous systems have required large engineering teams, years of training, and have been limited to a single use-case. The company's Autonomy Studio software empowers users without programming expertise to graphically define their own system using the company's Digital Twin technology. These Digital Twins provide virtual analogs to real-world objects, powered by the company's artificial intelligence IP called "deep physics." This technique enables real-world objects to understand their own behavior and interactions and learn in place while they operate. Since there is no programming code required, automation projects can be done in one day or less, rather than weeks.
"PassiveLogic addresses a critical and large market need that has been consistently underserved by existing building automation companies. Without open, flexible controls systems as the backbone for building systems, the promise of a highly efficient or "smart" building is simply out of reach. Many buildings have been surviving with insufficient automation solutions for years – creating added costs, energy waste, and underwhelming tenant experiences," says John Rapaport of Keyframe Capital. "PassiveLogic has the controls architecture, unique autonomous building technology, and ease of configurability to give building operators the controls they have been promised for years to close those efficiency gaps, at a cost that will work for all building sizes. We're really excited about what this can mean for building operators, tenants, and regulators at this tipping point of the digitalization of buildings, and to play some small role in helping PassiveLogic follow that vision."
PassiveLogic's autonomous platform is built into their Hive edge controller that enables connectivity to building systems. Within a building, Hive controllers work together to provide an edge platform for sensors, equipment, and IoT – allowing whole-building resilient control without requiring cloud connectivity. The Hive Digital Twin engine understands how a building's equipment and systems interact, allowing local in-building AI to make the real-time control and management decisions that co-optimize comfort, maintenance, efficiency, and operational costs. In pilot projects, PassiveLogic's approach demonstrated 30% energy savings, as well as 90% labor savings in programming installation, and commissioning compared to conventional solutions.
"There has been a lot of talk about smart buildings in recent years, but when people say 'smart' they really just mean connected," said Harvey. "Our Digital Twin technology makes buildings truly intelligent and self-managing, taking them beyond conventional controls or other AI cloud add-ons in the marketplace."
PassiveLogic's platform scales to any building or campus, both in new construction and retrofit applications. There is a large worldwide market that will benefit from autonomous building technology, including specialized applications in factories, hospitals, and data centers. PassiveLogic has a growing roster of partnerships with many industry stakeholders, including building owners, operators, architects, engineers, contractors, and utility partners. Beyond autonomous operation and management, PassiveLogic's platform paves the way for human-centric architecture, interactive energy networks, utility demand-response, and the future of smart cities.
Founded in 2016, PassiveLogic is changing the future of the built environment by powering autonomous building systems and providing the foundation for smart cities. The current technology behind building controls has remained unchanged for decades. PassiveLogic reimagined how we design, build, operate, maintain, and manage our buildings using revolutionary "deep physics" Digital Twins, and AI-enabled future-forward controls. In a world increasingly impacted by climate change, PassiveLogic has developed a way to save one-third of building energy consumption by making building controls truly intelligent.
Keyframe Capital Partners, L.P. is a New York based SEC registered investment advisor. The firm's generalist, cross-asset mandate allows it to invest across a diverse range of business models and capital structures. Keyframe looks to build long term partnerships with companies, and to leverage its flexibility to help solve their most complex asset and corporate financing requirements. The firm was established in 2019 and is investing out of its inaugural fund of roughly $250M. Please visit www.keyframecapital.com for additional information.
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