Artificial intelligence (AI) company has managed to raise extra funds from private investors, finishing its latest investment round and adding $40 million in new capital. The money will be used to pursue the company’s stated goal to advance the optimization of traffic across cities.
Congestions in the city are always a big trouble for most municipalities and having to suffer through traffic jam hurts trade, wears down the infrastructure and leads to accidents, which are additional drain on the public purse.
Now, Optibus believes it has the solution, as it is invested in developing big data solutions that will address multiple issues such as re-routing and timing as well as seek to optimize suggested roads in real time, helping regular cars and heavy-transit vehicles ensure that they run smoothly and on time.
Possible complications with the upcoming Brexit in the United Kingdom could also lead to great queues at places such as Cardiff, so private equity owners are appreciative of the potential of this segment.
Based in Tel Aviv, Israel, the company needed three years to fully streamline its offer, relying on Artificial Intelligence (AI) solutions to ensure that the process can be automated and updated in real tie. As a result, drivers and vehicles will manage to save up to 15% on their journeys that used to be caused by unpredicted traffic congestions.
Insight Venture Partners, a private venture capital firm, led the Series B funding, which have ensured the company all the fresh capital it would need to pursue its goal further. Many investors joined of course, including companies such as Verizon Ventures, Pitango Venture Capital, New Era Capital, as well as the famous venture capitalist Sir Ronald Cohen himself.
Planning the future of transport will be dynamic and a highly-sophisticated operation, which will need the help of high-end technological solutions, estimates Insight Venture Partners. Of course, to navigate through the data will require the appropriate ways to read this, but it will only take a platform as streamline as Optibus.
Having had three years to adapt, Optibus is now fully-prepared to bring around the technological advancement the company has always needed. This is not the first time the company has been on the receiving end of such investments.
In January 2015, $1 million was invested in the company to get it off the ground and rolling. Later, in November 2017, when Optibus started to demonstrate its potential, the company immediately managed to grab another backing worth $12 million in Series A round funding.
More investment is now bound to follow. The company has already opened offices in San Francisco, London, Düsseldorf, Austin, Texas, and Washington D.C. and more. The company is going to expand even further and well beyond the horizon, planning to offer the service in well over 300 cities worldwide.
There is still funds to be raised. The latest round will help it consolidate its international footprint and push out with expansion starting immediately.