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Breaking down the largest funding and M&A value in 3D/AR in the past 12 months

Investment in 3D and AR companies has been on the rise for the past year, with multimillion-dollar funding rounds indicating rising confidence in the business appeal and growth prospects of immersive technology. To give you an idea, the global 3D technology and Augmented Reality markets are expected to hit $703.4 billion and $597.54 billion respectively by 2030. With all the buzz about the metaverse, investor enthusiasm for immersive technology has only increased. Crunchbase reported that nearly $1.9 billion of venture capital rolled into startups in the augmented and virtual reality sector in Q4 2021 — more than any quarter ever. Let’s take a look at last year’s largest funding and M&A activities in the 3D and AR sector.

Among the 3D and AR companies to recently announce millions in new investment rounds are:

Niantic, the company best known for developing the augmented reality mobile games like Pokémon GO, raised $300 million from Coatue, valuing the company at $9 billion. The San Francisco-based startup will use this money to build what it calls the “real-world metaverse”.

NAVER Z, South Korea-based 3D avatar application developer that runs the Zepeto app, raised a Series B worth approximately $188.2 million. The company will use the capital to diversify the range of “metaverse” experiences Zepeto supports.

Rokid, China-based enterprise and industrial augmented reality technology provider, raised $160 million. The company designs AR glasses with 5G compatibility for industry and exhibition applications. The funding will help Rokid expand globally and invest in R&D.

Physna, a 3D modeling software company, raised $56 million in the latest round of VC funding that drew participation from Tiger Global Management, Google Ventures, and Sequoia Capital. Physna plans to use the capital to further develop its deep learning-based geometric search engine, Thangs, which operates as a social platform for 3D printing models.

Avataar, a 3D artificial intelligence company that helps companies create immersive online shopping experiences, raised $45 million in a Series B round from Sequoia Capital India and Tiger Global Management. The company plans to use the funds to scale its operations.

Threekit, the 3D visual commerce platform for brands, manufacturers and retailers, raised $35 million in a Series B funding round led by Leaders Fund, with participation from strategic investors ServiceNow and Capgemini and existing investors Salesforce and Shasta Ventures. This capital will allow Threekit to accelerate investments in their product platform, eCommerce integrations, global sales organization and partner network.

Merger and acquisition activity has also been ongoing. For instance, Google has acquired Raxium, a five-year-old startup working on microLED display technologies for wearables and AR/VR headsets. The financial terms of the deal were undisclosed, but could be as much as $1 billion. Snap is also continuously pushing forward with its AR ambitions — last year, it bought WaveOptics, the supplier of the augmented reality displays that power its new Spectacles glasses, for more than $500 million.

The fact that these millions are pouring into 3D and AR companies is telling. Immersive technology has the power to transform any industry, including e-commerce, education, entertainment, and arts, making our lives more engaging and convenient. Cappasity is one of the startups to transform the future of online retail — we offer the first scalable turnkey solution for complex enterprise customers for immersive content creation and integration which is easy-to-adopt for large online catalogs.

Additionally, we provide our clients with the opportunity to create AR holograms for apparel demonstration and virtual try-on for watches and rings. Companies such as YSL, Samsonite, Marine Serre, Polene and others are using our solution. On top of this, we’ll soon be launching a solution that allows brands to create NFT-based loyalty programs.

If you’re an accredited investor interested in 3D/AR technologies, feel free to contact us via info@cappasity.com

Stay tuned and follow us on Instagram, Twitter or Facebook for more news on immersive content!

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