Israeli smart roads startup NoTraffic raised $17.5 million in a Series A round led by Nielsen Ventures, a VC firm founded by UK-based venture capitalist and former Uber and Dropbox executive Lars Fjeldsoe-Nielsen, and VEKTOR Partners, according to a company statement on Wednesday.
Grove Ventures, insurance leader Menora Mivtachim Group and Meitav Dash also participated in the round alongside existing investors lool ventures, which led the company’s seed round, Next Gear Ventures, and North First Ventures. Lior Handelsman, a co-founder of SolarEdge and a general partner at Grove Ventures, will join the company’s board.
Since its founding in 2017 by Tal Kreisler, Uriel Katz, and Or Sela to bridge the innovation gap between all mobility fields, NoTraffic has developed a real-time, plug-and-play autonomous traffic management platform that uses AI to reinvent how cities operate transport networks. The platform aims to help upgrade infrastructures by offering insights to city planners and eventually prepare cities to support the rise of autonomous vehicles in the era of digital mobility.
NoTraffic says it transforms the traditional traffic management approach of relying on traffic light technologies and incorporates proprietary software to process data in real-time using AI, allowing users to access fully automated, and intuitive information through its management platform.
The platform’s efficacy has been validated in trials and partnerships with various transport authorities across North America including those in the City of Phoenix and the State of California, the company says. For instance, studies demonstrate that using NoTraffic’s platform could lead to a drop in waiting times by as much as 50 percent.
“NoTraffic is reinventing how entire towns, cities and countries move,” said Fjeldsoe-Nielsen in a statement. “Instead of looking at the challenges presented by traffic jams, its approach looks at the opportunities provided by improved traffic flow. Its pragmatic, bigger-picture view has seen it build a solution that works with and for everyone in a city; the authorities and their planners, commuters, tourists, businesses, pedestrians, for decades to come.”
Kreisler said that the current funding round “is of strategic importance to us, and will help us to extend the technological breakthrough on which our developments are based, and support the expansion of our business activities.”
The startup will allocate the funding to expand its operations across departments of research and development, business, marketing, sales, and other potential markets. NoTraffic plans to accelerate rollouts across the US, arrive in Europe this year, and look further into other markets globally.
“NoTraffic’s technology is a one-of-kind opportunity to transform traffic management systems, bringing digitalization, IoT, and automation to cities’ roads based on deep technology capabilities, real-time data and unique AI expertise. We believe in NoTraffic’s exceptional team, and we are sure that they will continue to build and grow, changing cities’ infrastructure and making it more efficient, safe, and cost-effective,” said Handelsman of Grove Ventures.