The American manufacturer of tractors and agricultural machinery John Deere has fully acquired the young technology and software company Bear Flag Robotics for a quarter of a billion dollars.
Deere had already been a partner for several years in the startup founded in 2017 that develops, among other things, fully automated robot tractors.
The two companies have been collaborating since 2019 as part of Deere's Startup Collaborator program in Silicon Valley. That initiative deepens Deere's earlier cooperation with startups whose technology can add value for its customers.
“One of the biggest challenges farmers face today is the availability of sufficient and skilled personnel. Automation and robotics provide a safe and productive alternative,” said Igino Cafiero, co-founder and CEO of Bear Flag Robotics.
The Bear Flag team, composed of agricultural professionals, engineers, and technologists, will remain based in Silicon Valley and will work closely with Deere to accelerate innovation and autonomy, it was said. Five years ago, John Deere made a similar startup acquisition in Silicon Valley when it bought Blue River Technology for over 300 million dollars.
John Deere reported favorable quarterly figures this year and raised its profit forecast for the full year. The company benefited from strong demand for agricultural machinery last quarter due to the economic recovery from the coronavirus crisis. Farmers are investing in new equipment. In the Netherlands, the company ranks among the top three suppliers of agricultural machinery.