Omni Ventures has closed an oversubscribed US$33 million debut fund to back pre-seed startups developing technology for industrial manufacturing. The San Jose-based firm plans to write initial checks of US$700,000 to US$1 million into companies building software, artificial intelligence, automation, robotics, and connected systems for factory and supply-chain operations. Led by former Apple product and manufacturing engineers Simon Lancaster and Sabrina Paseman, the fund reflects growing investor interest in modernizing an industry where much of the operational data remains fragmented, inaccessible, or tied to legacy infrastructure.
Manufacturing’s Digital Transformation
Allocator One, a fund of funds focused on emerging venture managers, served as the anchor investor in Omni’s first fund. The firm’s limited-partner base spans 14 countries and includes investors from across the industrial and venture ecosystem. Omni said several of its portfolio companies have also attracted participation from firms including Khosla Ventures, Eclipse, Bessemer Venture Partners, and Kleiner Perkins.
Omni is targeting an industrial technology market shaped by efforts to improve production resilience, shorten supply chains, and strengthen manufacturing competitiveness. While software has transformed sectors such as finance, retail, and communications, industrial operations have often remained dependent on manual processes, disconnected machinery, spreadsheets, and site-specific expertise. The firm argues that recent advances in AI are making it more practical to extract useful insight from these underutilized operational data sources.
This opportunity spans a broad range of applications, including predictive maintenance, supply-chain traceability, engineering and design software, simulation platforms, and advanced robotics. Manufacturers are increasingly under pressure to reduce downtime, increase throughput, manage workforce constraints, and respond faster to customer demand. For startups, this creates potential not only to sell productivity tools to industrial operators but also to become acquisition targets for established manufacturing and industrial technology companies seeking to expand their digital capabilities.
Early Portfolio Activity
One of Omni’s early investments is Uptool, an AI-powered quoting platform designed for small and high-mix manufacturers, including machine shops and fabrication businesses. The company aims to help these operators prepare quotes more quickly, pursue more opportunities, and reduce the administrative burden associated with manual estimating workflows. Its model addresses a segment of the market that is central to industrial supply chains but has historically had limited access to modern digital tools.
Uptool co-founder and CEO Benny Buller said smaller manufacturers often face inefficient processes caused by outdated systems and manual work. He described Omni as a partner with an understanding of the operational complexity facing factory-based businesses, an important consideration for founders selling into industrial environments. That sector knowledge may be particularly relevant for startups that need to navigate long sales cycles, integrate with existing equipment, and demonstrate measurable returns to cautious buyers.
Operator-Led Investment Strategy
Lancaster and Paseman bring more than three decades of combined experience across industrial and manufacturing technology. Before launching Omni, they spent nearly 20 years collectively working on manufacturing operations within Apple’s global supply chain, alongside roles at companies including Google, BlackBerry, Arris Composites, and Boston Scientific. Their investment approach is built around the view that early-stage manufacturing technology founders need operational insight and customer access as much as financial backing.
Over the past five years, the partners have built a network of more than 32,000 industrial executives, engineers, entrepreneurs, and strategic contacts. Omni intends to use that network to help portfolio companies validate products, understand customer requirements, and build relationships across the manufacturing ecosystem. This type of support could be valuable in a market where product adoption depends heavily on trust, integration capability, and direct evidence of operational impact.
Foxconn Technology Chief Investment Officer Yukai Lin, a limited partner in Omni, said the firm has identified an opportunity at the earliest stage of manufacturing technology investing. He pointed to the importance of technical knowledge, customer access, and industrial expertise in shaping startup outcomes in the sector. Omni is seeking to position those elements as a differentiator as competition for industrial technology deals increases.
Omni Ventures is entering manufacturing technology at a time when industrial companies are accelerating efforts to digitize production and use AI more effectively. Its US$33 million Fund I will focus on the earliest stages of company formation, where founders are building tools to make factories, supply chains, and industrial workflows more efficient and connected. With an operator-led team, an international investor base, and a broad manufacturing network, Omni is positioning itself as a specialist backer of startups working to reshape the industrial economy.