TerraFirma raises $115M to build robotic infrastructure for construction

TerraFirma, an Austin-based construction technology startup, announced this week that it has secured $115 million in Series A funding to accelerate the development and deployment of its semi-autonomous heavy equipment. The company, founded by former SpaceX engineers, aims to reverse decades of declining productivity in the construction industry.

Funding round led by Kleiner Perkins

Kleiner Perkins led the Series A round, with participation from Bain Capital Ventures, Glade Brook Capital Partners, BANNER VC, Saga Ventures, Trust Ventures, Definition, PEAK6, Magnetar Capital, and Ravelin Capital. Angel investors include founders, executives, and engineers from SpaceX, Anduril, Base Power, Shinkei, and Hadrian. The investment will be used to expand TerraFirma’s engineering, manufacturing, operations, and construction teams, as well as to continue advancing its robotic technology.

“Construction is the foundation everything else is built on, and it’s been going backward for 50 years,” said Noah Schochet, co-founder and CEO of TerraFirma. “America built the transcontinental railroad, the interstate highway system, and the Hoover Dam. There’s no reason we can’t build at that scale again, and there’s no first-principles reason construction can’t become 10x faster, cheaper, and safer. TerraFirma exists to help America build again and then take that capacity into the cosmos.”

A full-stack approach to construction robotics

Founded in 2024 by Schochet and Noah McGuinness, both former SpaceX engineers, TerraFirma operates as a vertically integrated construction company focused initially on robotic earthworks and site operations. The company builds and deploys its own robotics and software in the field, aiming to transform traditional heavy machinery into semi-autonomous systems.

TerraFirma’s platform combines AI-enabled pre-construction software, a remote command-and-control center, and retrofitted heavy equipment including excavators, dozers, loaders, rollers, and skid steers. These machines no longer require an operator in the cab; instead, skilled operators oversee entire fleets from screens, applying their intuition and judgment across multiple machines simultaneously.

“It is not about trying to fully automate construction equipment,” said McGuinness, chief technology officer. “Making construction truly faster and cheaper requires innovating on operations and technology together across the full stack. We believe autonomy is a part of the solution, but driving real change requires building a whole ecosystem of technology that is directly informed by rapid iteration and lessons from the field.”

The company reports that this system can make each operator up to 300% more effective, accelerating project execution, reducing costs, and creating safer, higher-paying jobs compared to traditional equipment operation.

Tackling a productivity crisis in construction

TerraFirma points to a persistent decline in construction productivity as the motivation for its work. According to data from the U.S. Department of Commerce and Goldman Sachs, labor productivity in U.S. construction has fallen at an average rate of 0.6% per year since 1965, while productivity across the broader economy has grown at roughly 1.6% annually. This divergence, the company asserts, has cost the equivalent of roughly $1 trillion every five years.

“Construction is one of the only major industries where productivity has gone backward,” the company stated, emphasizing the critical need for innovation in physical infrastructure—from roads and power grids to homes, factories, and hospitals.

Current projects and future ambitions

TerraFirma is already executing commercial projects across housing, energy, transportation, manufacturing, and education sectors. Recent work in Texas includes site preparation, excavation, and grading for a new Starbucks in North Austin, a sports arena in Spicewood, and a power substation in New Braunfels. The company is also collaborating with the U.S. government on mission-critical international infrastructure and logistics projects in challenging operating environments.

“TerraFirma is succeeding at real-world scale, proving the business model works, and securing government and commercial contracts. This is clearly where the industry is headed,” said Josh Coyne, a partner at Kleiner Perkins.

Looking further ahead, TerraFirma envisions bringing its construction technology beyond Earth to support space-based infrastructure. “The technology that we are building today to solve critical challenges here on Earth will be highly reusable to solve those same challenges on the Moon and Mars,” Schochet said.

The source for this article is https://www.therobotreport.com/terrafirma-raises-115m-build-robotic-infrastructure-construction/.