SK Networks invests $4 million in US tractor unmanned automation solution company

SK Networks announced on the 1st that its U.S. investment subsidiary, Hyko Capital, will invest $4 million in the $17 million Series A round raised by Sabanto, a tractor unmanned automation solution company, for commercial product production and technology development.

The photo shows Samuel Kim, Head of SK Networks Hyko Capital (left), taking a commemorative investment photo with Craig Roop, CEO of Sabanto, on the Oculus Meta platform.

Photo by SK Networks

[Asia Economy Reporter Yoo Hyun-seok] SK Networks is investing in a U.S. advanced agriculture startup that incorporates 4th industrial revolution technologies.

On the 1st, SK Networks announced that through its U.S. investment corporation, Highco Capital, it will invest $4 million (approximately KRW 5.156 billion) in the Series A round totaling $17 million (approximately KRW 21.913 billion) raised by “SAVANTO,” a tractor unmanned automation solution company, for commercial product production and technology development.

SAVANTO is a startup that implements unmanned automation systems for tractors. Unlike other companies that require purchasing dedicated tractors, it offers a solution that can automate tractors already owned by existing farms, which is a differentiating factor. Also, since it is based on an open platform, the solution can be applied regardless of the tractor brand. Through this, customers can reduce the burden of tractor replacement costs while using unmanned automation solutions including autonomous driving, making it highly scalable in the market. SAVANTO has been testing its products since last year after signing a pilot project contract with the U.S. Air Force, and having its technology and product safety recognized, it plans to sign an official supply contract in the second half of the year. Alongside this, commercialization targeting general farms is also imminent.

SK Networks decided on this investment by focusing on the growth potential of the global agricultural technology sector, including the U.S., and SAVANTO’s differentiated competitiveness. U.S. agriculture is facing issues such as aging, labor shortages, and rising costs. The government and market are focusing on automation technology as a solution to these problems. According to a U.S. market research firm, the global smart agriculture market is expected to record an annual growth rate of over 20%. SAVANTO is analyzed to have high development potential amid the growth of the automation technology industry based on its differentiated competitiveness.

An SK Networks official said, “The agricultural automation technology market is one of the fastest-growing fields in the U.S., and SAVANTO’s unmanned technology not only improves tractor operational efficiency but also adds sustainability to agriculture,” and added, “Through this investment, we will support the development of startups with competitive technology and seek strategic connections with SK Networks’ future businesses.”

SK Networks plans to continue discovering future growth engines through global investments aligned with its strategic direction while upgrading its existing businesses.

Meanwhile, Highco Capital is a corporation established in Silicon Valley, U.S., in 2020 by SK Networks to invest in promising global technology sectors and build local networks. So far, it has invested in Standard Cognition, MycoWorks, and others.

This content was produced with the assistance of AI translation services.