Investing in the industrial transition

Early stage investor in: deeptech, supply chain, logistics, industrials, climate, energy, manufacturing

There's a transformative shift happening in physical industries, driven by advancements in software. Historically, the development of physical products faced high costs and slow cycles due to complex iterations. Now, a new tech stack is emerging, fueled by cloud computing, ubiquitous cheap sensors, and a surge in GPU compute and machine learning capabilities. This stack includes simulation engines, advanced 3D design tools, and machine learning, facilitating more efficient development-build-test-deploy cycles and enabling significant improvements in robotics and other areas. Additionally, the move towards specialized chips and architectures like ARM/Nvidia, along with the adoption of open interfaces, is reducing hardware costs. This technological evolution allows companies to abstract away from fixed investments, turning CAPEX into OPEX, thereby lowering the barrier to market entry and enhancing profitability.

Source: samcash.substack.com/p/a-new-tech-stack-for-physical-industries