PitchBook: robotics and physical AI companies have raised ~$48B YTD, as they gather training data from people completing tasks in factories, offices, and homes

Physical AI and robotics companies have secured $48 billion in funding this year, indicating substantial capital is flowing into the sector.

SK Square, the investment arm of South Korea's SK Group, has invested in Japanese physical AI startup Mujin Corp. This strategic investment aims to integrate Mujin's robotics software into SK Square's semiconductor manufacturing and logistics operations. The move aligns with a broader trend where robotics and physical AI companies have collectively raised approximately $48 billion year-to-date. These companies are gathering crucial training data by observing humans perform tasks across various environments, including factories, offices, and homes. SK Square's investment in Mujin, alongside its backing of other AI and chip startups in the US and Japan, underscores a significant push into advancing automation and intelligence within its existing infrastructure. The company is leveraging capital gains from SK Hynix to fuel these technology investments.

The substantial investment in robotics and physical AI signals a maturing market where companies are not just developing AI but actively integrating it into tangible, real-world applications. This trend suggests a shift from purely software-based AI solutions to more complex hardware-software systems designed for operational efficiency. The data-gathering approach, observing human tasks, is a critical step in enabling robots to perform a wider range of complex actions in unpredictable environments, moving beyond structured industrial settings.

SK Square's investment in Mujin highlights the strategic importance of physical AI for large conglomerates aiming to enhance their core operations, particularly in manufacturing and logistics. This move by SK Square, coupled with its other investments in AI and semiconductor startups, indicates a concerted effort to build a comprehensive ecosystem that supports advanced automation. As more companies like SK Square seek to integrate such technologies, expect increased demand for sophisticated robotics platforms and the underlying AI necessary to power them.