1X Technologies

Executive summary
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1X Technologies is advancing humanoid robotics with its NEO robot and Redwood Vision-Language-Action (VLA) model, enabled by its proprietary World Model (1XWM). Relocating to a new headquarters in Palo Alto, California, 1X, AI chief Eric Jang, has declared that 1X is pursuing Artificial General Intelligence (AGI) by leveraging diverse, real-world data from home environments.

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Strategic partnerships with NVIDIA enhance its technological edge, with NEO Gamma set for initial deployments in select early-adopter homes under nondisclosure agreements. In January 2024, 1X raised $100 million in a Series B round at a $9.41 billion post-money valuation, led by EQT Ventures and backed by NVIDIA, SoftBank, Samsung NEXT, and Jeff Bezos, positioning 1X as a high-potential player in the humanoid robotics market.
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Overview

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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. 

It develops safe, affordable humanoid robots, with its flagship NEO designed for household tasks like cleaning and caregiving, and future applications in hospitality, logistics, and eldercare. NEO’s tendon-driven, bio-inspired design ensures intrinsic safety, while its proprietary Revo1 servo motor delivers 5.5x the torque-to-weight ratio of leading motors, using 20% of the copper and magnets, 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, and motor control, leveraging over 10,000 hours of real-world data to enable NEO to perform tasks with human-like adaptability.

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Strategic Rationale
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The humanoid robotics market is a transformative opportunity, potentially surpassing digital AI by addressing the global physical labor crisis across a $30 trillion market. 1X’s home-first strategy, focusing on household tasks, unlocks rich, diverse data for its Redwood VLA and 1XWM, critical for advancing Artificial General Intelligence (AGI). 
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By emphasizing safety and affordability, 1X is also positioning itself as a frontrunner in consumer robotics, offering a distinct path to scale.Since shifting from industrial to consumer applications, 1X has gained momentum. The company recently opened an 80,000 square foot headquarters in Palo Alto to consolidate U.S. operations and attract top-tier AI talent. Its flagship robot, NEO Gamma, now integrates Redwood, a vision-language transformer capable of handling real-world household tasks such as object retrieval and door navigation.
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Share Class
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The DAO will hold common shares of 1X Technologies (Norwegian HoldCo) through a single-layer SPV structured as a Delaware LLC. This structure is typical for secondary transactions and reflects the terms available in high-demand private markets.
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Potential Liquidation Events
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1X Technologies’ strong execution and positioning in humanoid robotics create two plausible liquidity pathways:
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• ‍Initial Public Offering (IPO): With increasing investor appetite for AI and robotics, and a current $1.5B valuation supported by early NEO deployments, 1X is well-positioned as an IPO candidate within the next 2–5 years.‍
• Strategic Acquisition: Major tech companies pursuing embodied AI or humanoid platforms may target 1X for its data-rich home-first strategy and proprietary Redwood VLA architecture.
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While no liquidity event is guaranteed, 1X’s traction, institutional backing, and differentiated approach improve the likelihood of a successful exit scenario.

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Key Risks & Considerations
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While humanoid robotics presents extraordinary potential, there are still material risks:
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• Execution Risk: Hardware scaling, AI deployment, and production reliability remain challenging, even with strong funding and partners.
  

• Competitive Landscape: 1X operates in a highly competitive segment alongside Figure AI, Tesla, Apptronik, and others.
  
  
• Regulatory & Public Adoption: Concerns about safety, labor impact, or regulation could delay adoption or create new compliance burdens.

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