Robotics startup cofounded by Synapse CEO is raising funds with exaggerated claims about GM ties
What specific claims did Foundation Robotics Labs make about their relationship with General Motors in their fundraising pitch?
In their fundraising pitch, Foundation Robotics Labs claimed to have close ties and an imminent investment from General Motors (GM). The startup stated that GM had already committed to an investment, along with the Menlo Park-based VC firm Tribe Capital. Additionally, the pitch claimed that GM was set to be Foundation's first customer, with a targeted $300 million purchase order, and had provided access to its factories to help train Foundation's robots. They also mentioned that they were collecting ground truth data from GM's factories in Mexico. However, GM has refuted these claims, stating that they have never invested in Foundation Robotics, have no plans to do so, and have no agreements for robot orders or data collection from their factories.
What was the intended use of the $11 million being raised by Foundation Robotics Labs in their seed funding round?
Foundation Robotics Labs intended to use the $11 million raised in their seed funding round for developing humanoid robots to automate work in factories, warehouses, and eventually homes. The company also mentioned that General Motors (GM) would be their first customer, with a targeted $300 million purchase order, and claimed that GM had provided access to its factories to help train their robots. However, GM has refuted these claims, stating that they have never invested in Foundation Robotics, have no agreements for robot orders, and have not allowed data collection from their factories.
How has General Motors responded to the claims made by Foundation Robotics Labs regarding their relationship?
General Motors (GM) has rejected the claims made by Foundation Robotics Labs regarding their relationship. According to GM and one of the startup's founders, most of Foundation's claims related to the automaker are exaggerated or untrue. While GM met with Foundation executives a few times, it hasn't allowed data collection from its factories, has no agreements for robot orders and isn't planning an investment. A GM spokesman, Darryll Harrison, said in an emailed statement, "GM has never invested in Foundation Robotics and has no plans to do so. In fact, GM has never had an agreement of any kind with the company. Any claims to the contrary are fabricated."