1X Technologies

Executive summary
‍

1X Technologies is advancing humanoid robotics with its NEO Gamma robot now available for pre-order at $20,000, marking a critical transition from R&D to commercial deployment. The company's proprietary Redwood Vision-Language-Action (VLA) model, powered by the 1X World Model (1XWM), continues to evolve through real-world data collection in home environments. Operating from its expanded 80,000 square foot headquarters in Palo Alto, California, 1X maintains its ambitious AGI pursuit under AI Chief Eric Jang's leadership, with strategic backing from NVIDIA deepening the company's technological capabilities.

‍

Following its January 2024 Series B round that raised $100 million at a $1.5 billion post-money valuation, led by EQT Ventures and backed by NVIDIA, SoftBank, Samsung NEXT, and Jeff Bezos, 1X is now preparing for a significant Series C round at a rumored $9B pre-money valuation. The launch of NEO Gamma pre-orders at a $20,000 price point represents a major commercial milestone, validating the market readiness of 1X's home-first robotics strategy and positioning the company as a leader in the emerging consumer humanoid robotics market.
‍

Overview

‍

Founded in 2014 by Bernt Øivind Børnich as Halodi Robotics, 1X Technologies is a Norwegian-American company headquartered in Palo Alto, California, with operations in Sunnyvale and Moss, Norway.

‍

The company develops safe, affordable humanoid robots, with its flagship NEO designed for household tasks including cleaning, organization, caregiving, and companionship. Future applications extend to hospitality, logistics, and eldercare sectors. NEO's tendon-driven, bio-inspired design ensures intrinsic safety through compliant actuation, while its proprietary Revo1 servo motor delivers 5.5x the torque-to-weight ratio of leading motors, using only 20% of the copper and magnets required by conventional designs, enabling cost-effective, quiet, and powerful motion.

‍

1X's Redwood Vision-Language-Action (VLA) model, trained by its proprietary World Model (1XWM), integrates vision, language understanding, and motor control. Leveraging over 10,000 hours of real-world operational data, Redwood enables NEO to perform complex household tasks with human-like adaptability and contextual understanding.

‍

Strategic Rationale
‍

The humanoid robotics market represents a transformative opportunity, and 1X's differentiated approach focuses specifically on the home care and home services segment rather than industrial or commercial labor markets. By targeting household tasks, caregiving, companionship, and eldercare applications, 1X addresses a distinct market opportunity that sets it apart in the robotics landscape.

This home-first strategy is particularly valuable for the DAO's portfolio diversification. While many humanoid robotics companies target industrial automation, warehousing, and commercial labor applications, 1X's focus on consumer home environments provides the DAO with unique exposure to the emerging in-home robotics market. This strategic positioning enables the collection of rich, diverse real-world data from residential settings, which fuels its Redwood VLA and proprietary 1XWM, critical ingredients in the pursuit of AGI in embodied systems.

‍

By emphasizing safety and affordability for home use, 1X is positioning itself as a frontrunner in consumer robotics, offering a distinct path to scale that complements rather than competes with the DAO's other portfolio companies. The launch of NEO Gamma pre-orders at $20,000 marks 1X's transition from R&D to early commercialization, validating both the maturity of its technology and real market demand in the consumer segment. The company's expanded Palo Alto headquarters has enabled accelerated development cycles, enhanced recruitment of top-tier AI/ML and robotics talent, and improved integration between hardware and AI development.
‍

Share Class
‍

The DAO holds direct common shares in 1X Holding AS (Norwegian HoldCo). This structure provides full shareholder rights and long-term exit optionality.
‍

Potential Liquidation Events
‍

1X Technologies' strong execution momentum, NEO Gamma commercial launch, and upcoming $1B fundraise improve the probability and timeline for liquidity events:

‍

Near to Medium-Term (2-5 years): With successful NEO deployments and revenue traction, 1X is well-positioned as an IPO candidate, or may attract strategic acquisition by major technology companies pursuing embodied AI (e.g., Apple, Google, Microsoft, Amazon) for its data-rich home-first strategy and proprietary Redwood VLA architecture.

‍

Secondary Market Opportunities: As 1X's profile grows post-Series C, secondary market liquidity may emerge, with commercial traction potentially creating partial liquidity opportunities through strategic partnerships.

While no liquidity event is guaranteed, 1X's traction, institutional backing, commercial progress, and differentiated approach improve the likelihood of a successful exit scenario.

‍

Key Risks & Considerations
‍

While humanoid robotics presents extraordinary potential, material risks remain:

‍

Execution Risk: Hardware scaling presents supply chain and quality control challenges. Real-world AI deployment may reveal edge cases requiring significant refinement. Consumer adoption involves trust, privacy concerns, and behavioral hurdles that could delay market acceptance.

‍

Competitive Landscape: 1X operates in a highly competitive segment alongside Figure AI (backed by OpenAI, Microsoft, NVIDIA), Tesla (Optimus), Apptronik, Boston Dynamics, and well-funded Chinese competitors.

‍

Regulatory & Operational Risks: Safety regulations, data privacy requirements, or labor protections could create compliance burdens or delay adoption. Reaching profitability may require additional funding rounds that could dilute existing shareholders.

‍

Valuation Risk: While the anticipated $9B Series C is expected to close, any delays, reduced size, or lower valuation would impact expected value creation.

‍

Despite these risks, 1X's approach to Embodied AI, its early lead in real-world humanoid deployment, and its transition to commercial operations make it a strategically aligned investment for the DAO.