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Vivid Machines raises $5.8 million CAD to help growers virtually monitor fruit trees

Toronto-based agtech startup Vivid Machines, which provides monitoring technologies for the fruit supply chain, has raised $5.8 million CAD ($4.3 million USD) in seed funding.

Founded in 2020 by Jenny Lemieux (CEO) and Jonathan Binas (CTO), Vivid Machines has developed a vision system that uses spectral sensors to help growers, packing facilities, and fruit marketers capture data for permanent crops.

The funding will help Vivid Machines expand to a wider variety of crops.

Crops that tend to grow uniformly like corn can be monitored in bulk using drone or satellite technologies. Permanent crops, such as apples and peaches, are usually trees or shrubs. With the canopy of leaves from the trees covering their fruit, the same overhead monitoring technologies are not ideal for permanent crops. To get around this, Vivid Machines’ technology uses imaging and AI to capture chemical and physical profiles of permanent crops.

According to Vivid Machines, using its platform can help growers manage their crop’s progress and predict yields by providing accurate real-time crop data, down to the individual plant.

Vivid Machines said the funding will support the startup in its development of a “broader set of system applications” and expand its capabilities to a wider variety of fruit crops.

The round was led by BDC Capital’s Thrive Venture Fund, with participation from StandUp Ventures, Algoma Orchards, Tall Grass Ventures, Entrepreneur First, BoxOne Ventures, Conexus Venture Capital (Emmertech), the W Fund, Cornell Capital, Freycinet Ventures, N49P, and MaRS IAF.

RELATED: Four startups from initial Entrepreneur First Toronto cohort raise collective $5.7 million CAD

In January, Vivid Machines was awarded more than $810,000 from the federally supported Canadian Food Innovation Network for its project with Ontario-based farms Algoma Orchards and Blue Mountain Fruit Company, which both specialize in apples. Under the partnership, Vivid Machines is creating digital twins, or virtual models, of the orchards to determine ideal harvest timings to meet the demands of grocers and food processors.

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Western Canadian Agriculture: Hard Times Made the World's Best Farmers

Video: Western Canadian Agriculture: Hard Times Made the World's Best Farmers

Western Canadian agriculture produced the most advanced farmers in the world not through abundance but through adversity. The crow rate fell. The wheat price went nowhere. The brown envelopes stopped.

When the subsidies disappeared, the bad farmers left and the good ones stayed. And the ones who stayed could not just grow wheat anymore. They started growing lentils and canola and peas and flax and faba beans. They built crop rotation. They got serious about agronomy because there was no government backstop. That process produced the Western Canadian agriculture Dennis Bulani describes in this clip: the most advanced, most educated farming culture in the world.

His contrast with Iowa corn and soybean farmers is sharp. At a DeKalb farmer meeting in Okoboji, Iowa, he asked what crop rotation they ran. Beans on corn stubble, corn on bean stubble. How do you fertilize? The co-op agronomist handles it. Have you considered other crops? No need. We make so much money on corn and soybeans. Western Canadian agriculture was never allowed that comfort. And now those Iowa farmers are watching soybean markets lock up with China and corn prices slide, and they do not have the agronomy knowledge or the research base to pivot. Western Canadian farmers adapted on a dime because they had done it before.

Dennis also makes the case that Western Canadian agriculture keeps adapting in real time. Low commodity prices over the past year have pushed growers to look seriously at precision spot-spray technology. He knows a neighbor who bought a sprayer with the seeing-eye system and sprayed only 80 out of 320 acres. As a chemical retailer Dennis acknowledges that will affect his sales. He supports it anyway, because if it advances Canadian agriculture and makes farmers money, that is a good outcome.

The lesson Dennis draws from the tale of two farms: continuous improvement is the only durable strategy. When canola was $22 a bushel some growers went to Arizona instead of the Crop Production Show. When the price came down those same growers came back to the research and the discipline. Products do not go on Rack Petroleum's shelves unless they pass a replicated trial first. That is what Western Canadian agriculture built through hard times: farmers who do the work whether the times demand it or not.

Dennis Bulani is CEO of Rack Petroleum and Ultimate Yield in Biggar, Saskatchewan. Dan Aberhart hosts GTF Productions, Western Canadian Agriculture's foremost live briefing platform and its foremost AI training platform for ag operators