LINKÖPING, Sweden--(BUSINESS WIRE)--After quietly bootstrapping itself to market-share dominance in the emerging indoor position system (IPS) market, SenionLab AB accepted its first external financing round from one of Europe’s most seasoned venture capital funds, SEB Venture Capital. The SEK 15M ($1.8M USD) investment will primarily be used to strengthen SenionLab’s already leading position in IPS software by continuing to grow the company’s sales force and establish local presences in selected geographies. In addition, product development will continue in order to maintain SenionLab’s technical superiority in the sector with the addition of new features and services.
With more than 250 installations in 32 countries, SenionLab’s share of the nascent IPS market is already an order of magnitude greater than the company’s nearest competitors. The term IPS primarily concerns location-based services on mobile phones where GPS does not work. IPS software uses information from smartphone sensors and receivers to establish the device’s position.
“With SEB Venture Capital on board we have partnered up with a strong, long-term investor that both understands and can enhance what we are doing,” said Christian Lundquist, co-founder and CEO of SenionLab. “Together, we aim to build a successful company in one of the industry’s most compelling and rapidly developing technologies.”
Its ultra accurate, and highly reliable and user friendly solution has already made SenionLab’s IPS software the industry’s only approach that consistently delivers a working solution to its customers. SenionLab’s IPS software is currently deployed in multiple verticals, including shopping malls, hospitals, and airports.
“We have been following SenionLab with great interest, and have seen the impressively rapid progress of this young company,” said Ulf Lewander, Investment Manager at SEB Venture Capital. “SenionLab has repeatedly shown that its approach to indoor positioning is the best and most commercially viable in multiple vertical markets. We are convinced that IPS will be as natural as GPS in the near future and that SenionLab is in a great position to be at the forefront of this development.”
The market for Indoor Positioning Systems (IPS) and Location Based Services (LBS), collectively known as Indoor Positioning and Indoor Navigation (IPIN), is growing rapidly. Markets & Markets estimate that the IPIN market had a turnover of $935M in 2014 and will grow to $4.4B in 2019 (CAGR 36%).
Luminary players, including Apple, Samsung, Google, Nokia, Microsoft, Hewlett Packard and IBM, are considered to be clashing for the tens of billions of dollars of business that is emerging around IPS in a wide range of markets including emergency services, healthcare, retailing, manufacturing, logistics and other industries ripe for transformation.
SenionLab has developed the world's most accurate, smooth and robust indoor positioning system that works on any smartphone in all types of environments. The Linköping based LEAD incubator company was founded in 2010 by six researchers who had problems finding their colleagues' offices in the huge buildings of the university. “Senion” is an abbreviation of SENsor fusION, the fundamental technology behind the company’s IPS software solution. More information at: www.senionlab.com
About SEB VC
SEB Venture Capital is an evergreen fund investing in high-tech Life Science and Technology companies with skilled entrepreneurs and global ambitions. Since SEB Venture Capital was founded in 1995, we have invested over SEK 3bn in more than 100 companies. So far, 70 companies have been divested with top-tier returns. Over the past 20 years working with venture capital, we have developed a best-in-class network of industrialists, advisors, industry experts and market analysts in the Nordic region and internationally. More information at: www.sebgroup.com