Hyperspectral imagery startup Pixxel has closed $36 million in funding as it prepares to roll out new remote sensing and analytics capabilities to customers.
The L.A. and Bangalore-based startup also scored a new strategic investor: Google, the tech giant that’s as well known for its mapping products as it is for its search engine. While Google led the Series B funding round, this does not mark the start of its relationship with Pixxel, CEO Awais Ahmed said in a recent interview.
“We were already working with them as a client before this,” he explained, with an AI research team from Google employing Pixxel’s hyperspectral data in agricultural applications. Google also rolled out its Earth Engine last year, a powerful tool that gives governments and businesses access to a massive trove of Earth observation data from hundreds of sensors in orbit. Many of Pixxel’s users separately use Earth Engine, Ahmed said, and the ultimate goal is to integrate the startup’s data onto that service.
Hyperspectral imaging uses a spectrometer to identify the spectral signature of objects. Taken from space, this type of imaging unlocks an enormous degree of insight into our planet – from detecting gas leaks to identifying specific types of minerals or plants. Pixxel has been developing this technology since 2019, and it put three demonstration satellites into orbit last year.
The startup has been selling data to a number of customers, including the U.S. National Reconnaissance Office. But “to increase the capacity and to actually reach a point that we can be self-sustaining with revenue,” Ahmed said, Pixxel’s team is now focused on launching its next-gen Firefly constellation. Those satellites will be able to provide 5-meter resolution over most of the Earth, as opposed to 10-meters from the demo satellites. (Ahmed points out that even 10-meters is the highest resolution hyperspectral sensor that’s ever operated in space.)
The Fireflies also have a longer lifespan: from two years to seven years. They are heftier too – 50 kilograms versus 15 kilograms – likely due to increased on-board propulsion. A trio of Firefly satellites will launch in early 2024 with SpaceX, and Pixxel plans to launch another three satellites shortly after. The company intends to launch 18 additional satellites by 2025.
Pixxel’s other major focus has been developing the Aurora analytics platform, which will allow customers to identify the spectral signature of an object with a click of a button. Different model tools will be built-in to the platform, like a crop species identification model, a cloud removal model, and a model to notify about gas leaks. Customers can use Aurora to track specific areas over time and to generate weekly reports on changes over those periods.
Here’s the first sneak peek of our Geospatial analysis data platform “Aurora”, a highly intuitive platform to access end-to-end analytics and extract insights from earth observation datasets. Get access to our alpha testing community now: https://t.co/bPA4qYqmIdpic.twitter.com/f3wS6SnAWo
“It’s important for us to not just dump data down to our customers and have them figure it out themselves,” Ahmed said. “There’s very few people in the world with the skill set to actually analyze hyperspectral data so we realized to actually open it up to a lot more customers than would be possible without it, we will build and put the Aurora platform out.”
Crucially, the new capital gives Pixxel enough runway to focus on execution and generating revenue, and not falling to the “valley of death” that annihilates many startups, Ahmed said. The $36 million will see through the manufacturing of the first six Firefly satellites and the first launch next year, as well as the development of the Aurora platform.
Ahmed also revealed that some of the cash is going to development of the next version of its satellites, called Honeybees, which will be even larger and provide even greater resolution. In addition to Google, existing investors Radical Ventures, Lightspeed, Blume Ventures, GrowX, Sparta and Athera also participated in the round. Pixxel has now raised $71 million to-date.
Ahmed said he could foresee a future where hyperspectral is as accessible to the average person as optical satellite imagery is today.
“Right now, you go to Google Earth and look at your houses and roads,” he said. But in the future, one may be able to easily access hyperspectral data to “go to a particular area and see how much metal has changed or how much forest has decreased, or be able to hover over something and identify [it].”
TORONTO – Canada’s main stock index was down more than 200 points in late-morning trading, weighed down by losses in the technology, base metal and energy sectors, while U.S. stock markets also fell.
The S&P/TSX composite index was down 239.24 points at 22,749.04.
In New York, the Dow Jones industrial average was down 312.36 points at 40,443.39. The S&P 500 index was down 80.94 points at 5,422.47, while the Nasdaq composite was down 380.17 points at 16,747.49.
The Canadian dollar traded for 73.80 cents US compared with 74.00 cents US on Thursday.
The October crude oil contract was down US$1.07 at US$68.08 per barrel and the October natural gas contract was up less than a penny at US$2.26 per mmBTU.
The December gold contract was down US$2.10 at US$2,541.00 an ounce and the December copper contract was down four cents at US$4.10 a pound.
This report by The Canadian Press was first published Sept. 6, 2024.
TORONTO – Canada’s main stock index was up more than 150 points in late-morning trading, helped by strength in technology, financial and energy stocks, while U.S. stock markets also pushed higher.
The S&P/TSX composite index was up 171.41 points at 23,298.39.
In New York, the Dow Jones industrial average was up 278.37 points at 41,369.79. The S&P 500 index was up 38.17 points at 5,630.35, while the Nasdaq composite was up 177.15 points at 17,733.18.
The Canadian dollar traded for 74.19 cents US compared with 74.23 cents US on Wednesday.
The October crude oil contract was up US$1.75 at US$76.27 per barrel and the October natural gas contract was up less than a penny at US$2.10 per mmBTU.
The December gold contract was up US$18.70 at US$2,556.50 an ounce and the December copper contract was down less than a penny at US$4.22 a pound.
This report by The Canadian Press was first published Aug. 29, 2024.
The crypto market has recently experienced a significant downturn, mirroring broader risk asset sell-offs. Over the past week, Bitcoin’s price dropped by 24%, reaching $53,000, while Ethereum plummeted nearly a third to $2,340. Major altcoins also suffered, with Cardano down 27.7%, Solana 36.2%, Dogecoin 34.6%, XRP 23.1%, Shiba Inu 30.1%, and BNB 25.7%.
The severe downturn in the crypto market appears to be part of a broader flight to safety, triggered by disappointing economic data. A worse-than-expected unemployment report on Friday marked the beginning of a technical recession, as defined by the Sahm Rule. This rule identifies a recession when the three-month average unemployment rate rises by at least half a percentage point from its lowest point in the past year.
Friday’s figures met this threshold, signaling an abrupt economic downshift. Consequently, investors sought safer assets, leading to declines in major stock indices: the S&P 500 dropped 2%, the Nasdaq 2.5%, and the Dow 1.5%. This trend continued into Monday with further sell-offs overseas.
The crypto market’s rapid decline raises questions about its role as either a speculative asset or a hedge against inflation and recession. Despite hopes that crypto could act as a risk hedge, the recent crash suggests it remains a speculative investment.
Since the downturn, the crypto market has seen its largest three-day sell-off in nearly a year, losing over $500 billion in market value. According to CoinGlass data, this bloodbath wiped out more than $1 billion in leveraged positions within the last 24 hours, including $365 million in Bitcoin and $348 million in Ether.
Khushboo Khullar of Lightning Ventures, speaking to Bloomberg, argued that the crypto sell-off is part of a broader liquidity panic as traders rush to cover margin calls. Khullar views this as a temporary sell-off, presenting a potential buying opportunity.
Josh Gilbert, an eToro market analyst, supports Khullar’s perspective, suggesting that the expected Federal Reserve rate cuts could benefit crypto assets. “Crypto assets have sold off, but many investors will see an opportunity. We see Federal Reserve rate cuts, which are now likely to come sharper than expected, as hugely positive for crypto assets,” Gilbert told Coindesk.
Despite the recent volatility, crypto continues to make strides toward mainstream acceptance. Notably, Morgan Stanley will allow its advisors to offer Bitcoin ETFs starting Wednesday. This follows more than half a year after the introduction of the first Bitcoin ETF. The investment bank will enable over 15,000 of its financial advisors to sell BlackRock’s IBIT and Fidelity’s FBTC. This move is seen as a significant step toward the “mainstreamization” of crypto, given the lengthy regulatory and company processes in major investment banks.
The recent crypto market downturn highlights its volatility and the broader economic concerns affecting all risk assets. While some analysts see the current situation as a temporary sell-off and a buying opportunity, others caution against the speculative nature of crypto. As the market evolves, its role as a mainstream alternative asset continues to grow, marked by increasing institutional acceptance and new investment opportunities.
