Materials development platforms — which help the development of breakthrough materials used for everything from advanced batteries and semiconductors to textiles and construction — are capturing investor attention.
Advancements in AI and quantum computing are driving this growth, helping these platforms reach high enough accuracy levels to replace physical trials and rival traditional lab methods, while operating at a fraction of the cost and time.
In the last year, the space has raised $1.1B in funding, a record high. When looking at the most nascent markets within the manufacturing sector (i.e., with a Commercial Maturity median of 3 or below), material development platforms rank second in total equity funding, coming in higher than humanoid robots.
Source: CB Insights Markets Index
Top talent is also moving into the space. Former OpenAI employee Liam Fedus founded Periodic Labs, an AI materials science startup that raised $200M at a $1B valuation. Meanwhile, other companies are capitalizing on advancements in quantum to simulate molecular interactions and predict material properties at a larger scale than previously possible.
