Nano Dimension acquires DeepCube Ltd.
The Israeli provider of additive electronics manufacturing solutions has signed a definitive agreement to acquire DeepCube Ltd., a provider of machine learning/deep learning (ML/DL) technology.
Nano Dimension will pay the shareholders of DeepCube approximately USD 40 million in cash and USD 30 million in American Depositary Shares (ADSs) of Nano Dimension, which are subject to stand still for various periods of up to 3 years after closing of this transaction. DeepCube technology applies numerous patented breakthrough algorithms to improve data analysis and deployments of advanced Deep Learning-based artificial intelligence (AI) systems. The Machine Learning application includes faster and more accurate training of deep learning models, and drastically improves inference performance and real-time metrics. Its proprietary framework can be deployed on top of any hardware, especially fitting edge devices and real-time applications. The company's AI/ML/DL solutions have demonstrated 10 times speed improvements and memory reduction. DeepCube’s scientists and engineers, all of whom are expected to join Nano Dimension upon closing of this transaction, are AI/ML/DL experts, veterans of defense forces, homeland security and governmental Big Data agencies, as well as academic and industrial research institutions. Mr. Yoav Stern, CEO of Nano Dimension, says in the press release that similar supply chain issues, as described recently in the public media in relation to the semiconductor industry, are hovering over the printed circuit board fabrication and assembly (PCB/PCBA) industries. Those segments are even more subject to margins pressure due to the Far East low labor cost and “non-free-market” effects on the capital intensity and pricing mechanisms. Moreover, the PCB/PCBA industry is directly affected by the issues of the chip-components shortage. “Nano Dimension’s vision is to establish “INDUSTRY 4.0” solutions, which entail building an AI/ML “distributed digital fabrication application” rather than just building machines as capital equipment. The “AI/ML/DL Distributed Electronic Fabrication Application” will enable a totally environmentally and ecologically friendly digital control of the supply chain for Hi-PEDs (High-Performance-Electronic-Devices), or very high performance AME-3D-PCBs,” Mr. Yoav Stern, CEO of Nano Dimension, in a press release. Mr. Stern adds, “The core of this solution will be DeepCube’s AI/ML/DL “brain” that is expected to manage a neural network of edge devices, self-learning and self-improving their efficacy and self-managing and maximizing yield throughout the total network. Nano Dimension machines shipping today (and especially next generation devices which are under development) will be edge devices in the “Digital-fabrication-neural-network” solution as described above.” Dr. Eli David and Mr. Yaron Eitan, DeepCube’s Chief Technology Officer and Executive Chairman, respectively will both join as directors of Nano Dimension.