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Archetype AI Raises $35M to Scale Deployment of Physical Agents to Solve Real-World Problems

Archetype AI Raises $35M to Scale Deployment of Physical Agents to Solve Real-World Problems

December 18, 2025 Craig Etkin

Archetype AI enables businesses to build, customize, and deploy Physical Agents that turn real-world sensor data into actionable insights, recommendations, and automations

PALO ALTO, Calif.–(BUSINESS WIRE)–Archetype AI, the Physical AI company, today announced $35 million in Series A funding led by IAG Capital Partners and Hitachi Ventures, with participation from new and existing investors including Bezos Expeditions, Venrock, Amazon Industrial Innovation Fund, Samsung Ventures, Systemiq Capital, E12 Ventures, Higher Life Ventures, and others. Archetype AI is also introducing new tools to build and deploy Physical Agents that sense, understand, and act in real-world environments.

“Archetype AI is refining and defining the full stack of Physical AI, creating scalable solutions that operate in the real world, not just on screens or in simulations,” said Dennis Sacha, Founding Partner at IAG Capital Partners. “This team is building a category-defining company that will transform how humans and agents interact with everything from edge devices to critical infrastructure, generating lasting value at scale.”

While AI agents are increasingly used to automate digital workflows online, extending those capabilities into the physical world has remained complex, costly, and resource-intensive. Traditional approaches — siloed industry-specific solutions or custom ML tools — demand significant engineering expertise and capital investments, and they only solve narrow business problems (for example, safety) without the ability to generalize across multiple real-world use cases.

With Archetype’s Physical Agents, businesses can turn raw sensor data into real-world intelligence in minutes using natural language prompts and APIs that integrate seamlessly with existing frameworks. Powered by Newton™️, a breakthrough Physical AI foundation model, the agents fuse multimodal sensor data, video, and contextual information to generate insights, recommendations, and automations. The Archetype platform offers pre-built services like Agent Toolkit, enabling rapid assembly, testing, and deployment of Physical Agents. These agents can run anywhere — in a private cloud, on-premise, or at the edge — ensuring complete data sovereignty and enterprise-grade security, a critical requirement for physical industries.

“Physical Agents allow businesses to move from intent to action with speed and efficiency that were not previously possible,” said Ivan Poupyrev, Co-founder and CEO of Archetype AI. “Newton provides general physical intelligence, while the Archetype platform and Agent Toolkit make it simple to build and deploy customer-specific solutions that solve their critical problems by using specific knowledge about their physical operations — here and now.”

Agent Toolkit enables businesses to build custom Physical Agents that serve diverse use cases. To accelerate development, Archetype provides pre-built, ready-to-use agents, including:

  • Process Monitoring Agent — Track ongoing machine operations, detect and discover anomalies, and identify machine states.
  • Task Verification Agent — Verify worker adherence and compliance to planned workflows and procedures in services, training, and operations control.
  • Safety Agent — Monitor environments for potential hazards and unsafe behaviors that can be defined by natural language to ensure safety compliance.

With these agents, customers can quickly deploy solutions tailored to their operations. The Archetype platform supports creating new agents, modifying existing ones, and enabling the model to adapt agents to new environments and requirements.

Early enterprise customers, including NTT DATA, Kajima, and the City of Bellevue, have already deployed Physical Agents to increase efficiency, reduce downtime, and improve safety in environments as varied as warehouses, construction sites, and city streets.

“Archetype AI’s Physical Agents improve operations and safety across real-world assets,” said a Samsung Ventures representative. “From reducing machine downtime in factories to monitoring construction sites in real time, their platform delivers tangible results enterprises can put into action immediately.”

The new funding will enable Archetype to accelerate scaling the Archetype platform, expand the Physical Agent capabilities, and invest further in frontier research and development to advance Newton’s ability to interpret, reason, and act in the physical world. The company is releasing new research results demonstrating the state-of-the-art capabilities of Newton for physical signal-language fusion, which allows the model to generate continuous time series signals from language descriptions. With this research, Archetype is making the next step beyond understanding to acting and manipulating the physical world.

The Archetype AI Platform and Physical Agent Toolkit are available today in beta for select customers, with expanded capabilities rolling out in the coming months.

About Archetype AI

Archetype AI is the Physical AI company helping humanity make sense of the real world. Founded by Google veterans, it pioneers a new AI category that fuses real-time sensor data with natural language, enabling users to ask open-ended questions about what’s happening now and what could happen next. As the creators of Newton, a first-of-its-kind foundation model, Archetype AI designed this platform to interpret the physical world and enhance human decision-making. Archetype AI partners with Fortune Global 500 brands across industries — automotive, consumer electronics, logistics, and retail — turning real-world data into actionable insights. For more information, visit: archetypeai.io.

Contacts

archetype@thehatchagency.com

(c)2025 Business Wire, Inc., All rights reserved.


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Archetype AI, Business Wire, California, Palo Alto, Venture Capital

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Fabric, a leader in care delivery and consumer experience, has announced the acquisition of UCM Digital Health (UCM), a leading digital health and telehealth provider. The acquisition expands Fabric's services to about 400 new employer and payer customers, adding one million covered lives. Fabric now serves over 75 health systems, 30,000 employers, and over 100 million lives across all 50 states. This marks Fabric’s fifth acquisition in less than three years, underscoring its strategic build-and-buy approach to unify the fragmented digital health landscape. By expanding its footprint in the payer and employer markets, Fabric is extending its comprehensive care access and experience platform paired with its nationwide provider network to streamline virtual-first care, expand access, improve efficiency and outcomes, and reduce both medical and overhead costs.

In a statement Aniq Rahman, CEO and Founder of Fabric said, "For Fabric, it’s about making healthcare more accessible.” “We’ve already made meaningful progress in the payer and employer markets, and this acquisition allows us to deepen that impact. By bringing more payers and employers onto our platform, we’re creating a connected experience that streamlines workflows, reduces friction and costs, and ultimately drives better outcomes for members and our partners." Moving forward, the 400 payers and employers served by UCM will transition to Fabric’s expanded technology and clinical network, gaining access to enhanced omnichannel patient experiences that improve efficiency before, during, and after virtual care. Through Fabric’s nationwide provider network, patients can receive a treatment plan for most common medical conditions in just five minutes or connect with a behavioral health provider within three days.

Fabric is a health tech company on a mission to solve healthcare’s access problem. Fabric’s integrated care platform offers personalized guidance, streamlines workflows, and unifies experiences across virtual and in-person care. Its solutions support care delivery from a patient’s first search to post-treatment follow-up using its proprietary Hybrid AI that combines conversational AI and physician-built clinical logic. Together with a nationwide network of medical and behavioral health providers, Fabric is realizing its vision of providing care for everyone, everywhere. The company advances connected delivery that improves access, outcomes, and equity across every stage of the patient journey. Today, Fabric serves 30,000 employers, payers, and enterprise organizations, including OSF HealthCare, MUSC Health, Highmark, and Intermountain Health. Fabric is backed by General Catalyst, Thrive Capital, GV (Google Ventures), Salesforce Ventures, Vast Ventures, BoxGroup, and Atento Capital.
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Flex has closed a $60 million Series B equity round led by Portage, bringing total equity raised to $105 million. In the last year, the company has quadrupled revenue and tripled its payments volume to $3 billion as it scales its all-in-one business and personal finance platform for high-net-worth middle-market business owners. Running a profitable middle-market business has become one of the most complex financial jobs in America, with owners often juggling more than ten disconnected systems to manage their money. Flex was created to give these high net worth owners a single place to run both their business and personal finances. This latest $60 Million equity round, followed by its $200 Million debt and $25 Million equity raise announced earlier this year, builds on a period of rapid hypergrowth. In just 12 months, Flex has grown revenue fourfold and increased annualized total payments volume from $1 billion to $3 billion across a suite of products, positioning Flex as one of the fastest-growing fintech companies at scale with best-in-class capital efficiency.

Flex is building the category-defining company solving this gap for high net worth business owners with a five-pillar strategy built around private credit, a business finance stack, a personal finance stack, payment solutions, and an ERP built for middle market businesses. These customers now use an average of four or more Flex products. Flex’s Business Credit Card, which provides 60-day float on every transaction, has been a major driver of adoption, acting as the wedge into deeper financial operations. Once owners experience the benefits of the Flex Credit Card, they often go on to adopt Flex’s banking, payments, working capital, and expense management tools to replace fragmented legacy systems. This integrated model has allowed Flex to scale with high efficiency and has created a strong foundation for its expansion into personal finance.

Launched in 2023, Flex a Flexbase Technologies brand is the AI Native “Private Bank” for high net worth business owners in the middle market. Flex is building the category-defining company solving this gap for high net worth business owners with a five-pillar strategy built around private credit, a business finance stack, a personal finance stack, payment solutions, and an ERP built for middle market businesses. Flex is the first platform that supports every step of their financial lives, from the moment they earn revenue to the moment they spend it personally.
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Across the United States, a new industrial age is taking shape. Trillions of dollars in infrastructure, from energy projects and advanced manufacturing to data centers and critical mineral facilities, must be built in the next decade. But large construction projects are slower and more expensive today than they were half a century ago. Unlimited Industries, a California-based company using AI to rethink how infrastructure gets built, has raised $12 million in seed funding to change that. The round was co-led by Andreessen Horowitz and CIV, with participation from leading industry investors. The capital will accelerate Unlimited’s expansion and further develop its proprietary AI platform – one designed to make large-scale engineering and construction faster, cheaper, and more ambitious.

Unlike traditional construction firms or standard software companies, Unlimited is an AI-native construction company that both designs and builds. Its proprietary platform can generate and evaluate hundreds of thousands of design configurations in parallel, automatically identifying optimal layouts for cost, safety, and performance before construction begins. By integrating AI-driven design with its own vertically integrated engineering and construction teams, Unlimited eliminates the costly handoffs and misaligned incentives that have defined the industry for decades.

In a statement Alex Modon, Co-Founder and CEO of Unlimited Industries said, “Advances in AI mean we can finally build the physical world the way we build software.” “The traditional construction model is slow, brittle, and fundamentally misaligned. Our approach replaces static design choices with a dynamic, data-driven process that learns from every project. The result is faster, cheaper, and more successful projects.”

Unlimited is an AI-native construction company headquartered in San Francisco. Today, the company designs and builds across energy infrastructure, data centers, critical minerals, and advanced manufacturing, helping developers build with greater speed, ambition, and efficiency. Their mission is to build a future of radical physical abundance by automating construction end-to-end. The company was founded in 2025 by serial founders Alex Modon, Jordan Stern, and Tara Viswanathan.
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