Israel’s UVeye, a tech startup that develops automated inspection systems for vehicles, has raised $100 million from investors including General Motors Co., to boost sales growth and manufacturing in North America.
The Series D investment round was led by Hanaco VC, a venture capital firm based in New York and Tel Aviv with $1.5 billion in assets under management, including investments in firms such as Digital Ocean, Yotpo and Divvy.
Existing investors, including General Motor’s venture arm GM Ventures; CarMax, a used-car retailer in the US; insurance company W.R. Berkley Corporation; Montreal-based equity fund F.I.T. Ventures L.P.; and Israeli institutional investors also participated in the series D round. The financing values UVeye at more than $800 million. Founded in 2016, the Israeli startup has raised a total of $200 million in funds.
UVeye has developed an artificial intelligence-powered camera-based platform that it says can run vehicle inspections within seconds. The drive-through vehicle inspection systems are based on advanced computer-vision and machine-learning technologies which were originally developed for homeland security purposes to detect weapons and contraband before being expanded to the automotive industry.
The startup’s scanners deployed at new- and used-car dealerships, used-car auctions and major fleet retailers can detect mechanical flaws and identify anomalies for a variety of problems including frame and tire damage, missing parts and oil leaks, as well as brake- and exhaust-system issues.
“UVeye’s goal is to both revolutionize and standardize how the auto industry detects vehicle damage and mechanical issues,” said UVeye co-founder and CEO Amir Hever. “Our patent-protected technology provides automakers, dealers and fleet operators with unmatched solutions for quickly and accurately identifying vehicle problems while setting new quality standards for the industry.”
Hever added that the recent funds raised will be used to “introduce industry-first inspection technology at thousands of dealerships, used-car auctions and fleets throughout the US within the next three years,” and launch new manufacturing operations in North America.
Headquartered in Teaneck, New Jersey and in Tel Aviv, UVeye has opened facilities in North America, Europe and the Asia Pacific region, including offices in Japan, Germany and the US.
Since 2022, UVeye formed partnerships with automakers and more than 5,000 dealerships, used-car auctions and car fleet operators. General Motors, Volvo Cars USA and CarMax have introduced the startup’s technology throughout their wholesale networks.
“Our agreements with leading players in the US market will lead to the installation of thousands of new UVeye inspection systems within the next two-to-three years and generate an exponential jump in sales,” Hever said.