OTee, an Oslo-based industrial deeptech startup, has successfully raised €5.3 million in a seed funding round. The investment was led by North Ventures and will fuel the company's product development and international growth. OTee is pioneering a software-defined approach to modernize industrial control systems, challenging long-standing hardware dependencies.
Modernizing Industrial Automation
The global industrial automation sector has long been dominated by a few major players using proprietary hardware systems. These closed ecosystems create vendor lock-in, increase costs, and limit the flexibility needed for modern digital transformation. This hardware-centric model is becoming a significant barrier to integrating technologies like AI and cloud computing.
OTee addresses this challenge with its virtual Programmable Logic Controller (PLC) platform, which runs on open, off-the-shelf hardware. This software-defined control system offers the same deterministic performance and safety as traditional PLCs but with greater flexibility. Customers can standardize systems across sites, reduce costs, and deploy updates more efficiently.
Strategic Investment and Industry Validation
The €5.3 million funding round saw participation from Atlas SGR and existing investors RunwayFBU, Superangel, and Antler, alongside lead investor North Ventures. Mikkel Strandkjær from North Ventures stated that the shift to software-defined control will define the next era of industrial automation. He believes OTee is well-positioned to lead this critical transition in the industry.
The company's technology has already gained significant traction, with industrial investor RunwayFBU increasing its stake due to strong customer adoption. Key client Aker BP highlighted the value of OTee's open architecture in overcoming the inflexibility of legacy systems. This industry validation underscores the market's readiness for a more modern control infrastructure.
Future Outlook and Expansion Plans
Co-founder and CEO Henrik Pedersen emphasized that industrial control is one of the last major sectors tied to proprietary hardware. He explained that as industries adopt AI, the underlying control layer must remain predictable and safe. OTee provides this deterministic foundation, enabling the secure integration of advanced software into physical operations.
With the new capital, OTee plans to scale its engineering team to meet growing demand from industrial operators and system integrators. The funds will be directed toward continued product development and a strategic expansion into international markets. The company aims to broaden its platform's adoption across the energy, utilities, and manufacturing sectors.
This successful seed round marks a pivotal moment for OTee as it aims to redefine the industrial control landscape. The investment validates the company's vision for an open, software-defined future, moving away from decades of hardware dependency. With strong financial backing and industry support, OTee is poised to become a key enabler of the next generation of industrial automation.