Fundamentals support the rise of Chinese robotics

In the new and emerging industry, the rise of innovative robotics startups heralds the future. Last year, almost 130 companies were funded by venture capital, including China-based RooBo, Israeli Roboteam, and German ReActive Robotics. While the most valuable deals involved unmanned aerial systems companies (read: drones), they were followed by agricultural robotics, service robots for businesses and personal use.

The total amounted to almost $2 billion, 50 percent more than in 2015.

As emerging industries diffuse to mass markets, innovative startups typically become acquisition targets by major corporations that seek to consolidate the rapidly growing industry. Last year was a milestone for such acquisitions in robotics and automation with 50 companies sold for more than $19 billion.