TMTPOST -- Physical Intelligence, a robotics AI startup developing universal software for robots, announced on Monday that it had raised $400 million in early-stage funding. The investment was led by Amazon founder Jeff Bezos, alongside OpenAI and venture capital firms Thrive Capital and Lux Capital.

The funding values Physical Intelligence at $2 billion, according to PitchBook data.

The company’s aim is to create foundational software that can operate on any robot, eliminating the traditional need to tailor software for each specific task. Its Co-founder and CEO Karol Hausman described the approach as building a “universal brain” capable of controlling any machine.

Major tech giants like Microsoft, Google, Meta, Amazon, and Nvidia continue to invest billions in AI, with AI and cloud funding across the U.S., Europe, and Israel projected to reach $79.2 billion by the end of 2024, according to venture capital firm Accel.

A growing number of startups are entering the robotics AI field, including Vicarious (acquired by Google’s Intrinsic in 2022), Universal Robots, Seegrid, and Covariant.

Elon Musk has also expressed high expectations for the future of humanoid robots, predicting the production of at least 10 billion robots by 2040, with prices ranging from $20,000 to $25,000. Tesla recently showcased the latest iteration of its Optimus humanoid robot at its Robotaxi event.

Last week, Physical Intelligence published a paper demonstrating how its software, π0, or pi-zero, enables robots to perform complex tasks like folding laundry, bagging groceries, and even removing toast from a toaster.

In China, investment in AI-powered robotics continues to surge. Unitree Robotics raised nearly 1 billion yuan in February from investors such as Meituan, while humanoid robotics company Galbot completed a 700 million yuan angel funding round in June, backed by prominent investors like Meituan Strategic Investment and BAIC Capital.

Data from IT Juzi indicates that between 2019 and 2023, China's robotics sector witnessed a steady rise in funding, with annual cases increasing from 37 to 103, and investment growing from 1.983 billion yuan to 9.739 billion yuan, reflecting a 38.8% compound annual growth rate.

According to the latest Statista report, the global AI robotics market is projected to exceed $19 billion in 2024, marking nearly 30% growth from 2023. By 2030, the market size is expected to exceed $35 billion. 

(1 yuan equals U.S.$0.14)