TLDRs:
- FIGR stock fell 5.53% even after raising over $1 billion in Series C funding led by Nvidia.
- Figure plans to expand its humanoid robot fleet, enhance infrastructure, and accelerate training.
- Nvidia sees robotics as a key growth area alongside AI, supporting Figure’s funding round.
- Despite investor enthusiasm, FIGR shares dropped due to market caution on robotics startups.
Figure Technology Solutions, Inc., a San Jose-based humanoid robotics company, recently closed a $1 billion Series C funding round that values the company at $39 billion.
Parkway Venture Capital led the investment, with notable participation from Nvidia, Intel Capital, and Brookfield Asset Management.
The company, founded in 2022, specializes in humanoid robots designed for warehouses, factories, and other industrial environments. Since inception, Figure has raised nearly $2 billion, cementing its position as one of the most highly sought-after private robotics firms in the U.S.
Despite the sizable investment, FIGR stock fell 5.53%, closing at $38.24. Market analysts suggest that the decline reflects investor caution toward high-valuation robotics startups, even when backed by major tech players.
Expansion Plans Amid Investment
Figure intends to use the new capital to grow its humanoid robot fleet, enhance operational infrastructure, and accelerate data collection and robot training.
The company has emphasized its long-term vision of deploying robots across industrial settings to automate repetitive or labor-intensive tasks.
The funding also supports Figure’s broader ambition to scale its workforce of autonomous machines, creating a foundation for future commercial applications in logistics and manufacturing.
Earlier this year, Figure’s CEO described the company as the most “sought-after” stock on the private market, highlighting its high-profile appeal among institutional investors.
Nvidia’s Robotics Vision
Nvidia CEO Jensen Huang has repeatedly highlighted robotics as one of the company’s largest potential growth markets alongside AI.
While robotics currently accounts for a small portion of Nvidia’s revenue, $567 million in the most recent quarter, or about 1% of total sales, the company sees massive future potential.
Huang envisions Nvidia technology powering billions of robots, autonomous vehicles, and robotic factories. Nvidia’s AI chips are central to this strategy, enabling training and deployment for advanced robotic systems. Additionally, the company’s Drive platform, adopted by Mercedes-Benz, demonstrates Nvidia’s dual focus on automotive and industrial robotics applications.
Market Reaction and Investor Sentiment
Even with prominent backers and ambitious plans, FIGR shares experienced a notable decline. Experts attribute this drop to several factors: market skepticism of high valuations for emerging robotics firms, cautious investor sentiment, and the early-stage nature of commercial humanoid robotics.
Figure has also been proactive in defending its shares, issuing cease-and-desist letters to secondary brokers attempting unauthorized sales. While these actions underline the company’s control over its private stock, the public market reaction illustrates the volatility of robotics investments, especially those with sky-high valuations.
As Nvidia and other tech giants increasingly invest in robotics and AI infrastructure, companies like Figure may become critical nodes in the emerging AI-driven industrial ecosystem. However, FIGR’s stock performance underscores the delicate balance between investor enthusiasm and market realism for robotics startups.
