Startup Raises $25M for Robotic ‘Nano’ Fulfillment Centers

An Israeli robotics startup has emerged from stealth with $25 million in funding for its next-generation robotic dark stores – or “nano fulfillment centers” as the company terms them, offering automated packing for online delivery orders. 

Entering the market in 2021, 1MRobotics was established to offer these plug-and-play style fulfillment stores for companies’ logistics and delivery needs, intended to help meet growing consumer demands for rapid delivery times. With these small-scale fulfillment units, companies can bring products closer to customers without the high costs of establishing retail sites.

“Last-mile delivery is a highly challenging space where any brand/retailer/operator is pushing to deliver at maximal efficiency and in the shortest time window possible,” said 1MRobotics CEO Eyal Yair. “Dark stores are a new class of infrastructure that is essential for Quick-Commerce and Direct-to-Consumer retail.”

The 1MRobotics model sees these 300 square foot square nano-stores developed and shipped out to customers, capable of operating as individual units in public spaces, or being integrated into larger retail sites. The small-scale and automated nature of these units also means companies can cut back on money spent on staff, as well as deploy the centers in previously unsuitable areas.

“Our goal is to create a new, global technology infrastructure for the last-mile fulfillment sector that would complement any existing fulfillment network,” Yair said. “An important part of our solution is our holistic approach to providing a hardware and software ecosystem in order to ensure a smooth operation at any scale and complexity.”

The 1MRobotics platform features both robots to pack orders and an AI system that monitors and tracks supply and demand patterns over time, informing stock replenishment and optimizing daily operations as a result. 

The most recent funding round was led by U.S.-Israeli investment firm Ibex Investors, as well as Emerg VC, Target Global and INT3, with the funding reportedly to be used to continue expanding the team and its standing in other global markets.