VergeSense Raises $12 Million To Capture A Share Of The Growing Space Management Software Market
In December 2020, VergeSense, a US-headquartered provider of a workplace analytics platform and sensors raised $12 million in a Series B funding round led by Tola Capital. VergeSense will use this funding to support its growth strategy and double its headcount to 100 people across departments such as sales, product management, marketing and engineering. This was VergeSense’s second funding round during 2020; it raised a $9 million Series A round in May 2020.
Headquartered in San Francisco, VergeSense’s core product is its Workplace Analytics Platform that provides insights on seating needs, office design, and overall utilization. Facility managers can leverage these insights to identify how to reduce desk vacancies and lower real estate overhead by allocating workspace efficiently. It also provides a computer vision-enabled sensor that captures granular data on space usage down to the seat level. Its ‘Signs of Life’ algorithm applies object detection analysis to distinguish between empty desks and desks containing objects such as coats that indicate workers are holding a space.
Other vendors in the space management software have also raised funding in the past 12 months. Locatee raised $4 million to expand the commercial reach of its workplace analytics platform. Density, which provides AI-powered, people-counting infrared sensors, closed a $51 million financing round in July 2020. This flurry of funding reflects that space management software continues to be a growth area, even amidst COVID-19 disruption and budget cuts. As a whole, the space and workplace software market grew at 9% in 2020 with some high performing start-ups achieving growth of well over 100%.
In the future, the prospects for the space management software market remain positive. According to our 2020 survey, 70% of facilities managers are investing in space utilization data analytics at one or more sites to support agile workplace programmes and space reduction. However, this attractive market is getting increasingly competitive with sensor vendors, IoT platform vendors and IWMS vendors all launching increasingly sophisticated propositions.
To learn more about the innovations that will shape the market in 2021, attend our webinar on Disruptive Proptech Solutions Coming To The Smart Building Market.