Vergesense Raises $12M Series B for Workplace Analytics

VergeSense, a company specializing in the application of machine vision to optimize office space utilization, announced today the completion of a $12 million Series B funding round. The investment was spearheaded by Tola Capital.

This latest funding brings the total amount raised by VergeSense to $22.6 million, factoring in the $9 million Series A round secured earlier this year. Previous investors participating in these rounds include JLL Spark, Allegion Ventures, MetaProp, Y Combinator, Pathbreaker Ventures, and West Ventures.

The current COVID-19 pandemic has likely contributed to the increased demand for VergeSense’s services and sensor technology. While the company had already experienced substantial growth since its inception in 2017, the pandemic is accelerating the adoption of intelligent office solutions. According to VergeSense CEO and co-founder Dan Ryan, the company recently introduced new functionalities to assist businesses with managing social distancing measures and identifying areas requiring enhanced cleaning protocols.

VergeSense sensor

It is becoming increasingly apparent that office environments and work practices will undergo significant changes even after the pandemic subsides. “A hybrid work model is emerging, a trend that was already gaining traction before the pandemic, but has now been greatly accelerated,” Ryan stated. “We didn’t foresee these developments, but they demonstrate the potential of an intelligent infrastructure that enables dynamic control over the physical workspace.”

A recently launched feature allows the company’s systems to determine if a workspace is likely occupied, even in the absence of a person, by detecting items such as backpacks or other indicators of use.

VergeSense currently serves clients in 29 countries, including prominent organizations like Shell, Quicken Loans, Roche, Cisco, and Telus. The company’s technology currently monitors over 40 million square feet of office space.

Image Credits: VergeSense

Ryan explained that the company received considerable investment interest this year and sought to leverage current market trends. “Looking ahead to 2021, with the anticipated acceleration of the transition to an agile, hybrid seating arrangement, we were preparing for further expansion. This funding provides an opportunity to collaborate with Tola Capital to achieve the next stage of growth,” Ryan elaborated.

The newly acquired funds will be allocated to the continued development of the company’s core computer vision capabilities and hardware. Furthermore, VergeSense plans to focus on establishing new partnerships and integrations with desk and room booking tools, as well as building automation systems. To support these initiatives, the company intends to double its workforce across all departments.

VergeSense is not alone in this market. Swiss startup Locatee, for instance, secured a Series A round earlier this year for a similar service, although it relies on network data for occupancy measurement rather than dedicated sensors like those developed by VergeSense. Other companies operating in this space include Density, Basking, and SteerPath.