Chinese company ELEGOO has closed a $70 million Series B+ funding round. This capital injection aims to consolidate its presence in the 3D printing market, spanning from resin and filament to selective laser sintering (SLS). The company plans to expand its catalog and improve its technology to compete in a segment where powder is king and durable parts are the goal.
The leap into powder: SLS as a new battlefield 🏰
With the funds, ELEGOO aims for a territory where established rivals already exist. Selective laser sintering uses powder to create functional parts without the need for supports, an advantage over resin. However, the market offers options like the Sinterit Lisa or the Formlabs Fuse, with notable costs and learning curves. ELEGOO's strategy must focus on lowering the entry barrier and simplifying the process to avoid being a secondary player in this category.
$70 million to not print a single plastic keychain 💸
Because, of course, $70 million is a sum that could buy a lot of filament and resin, but the move goes further. ELEGOO, famous for its resin machines that smell like cheap chemicals, now wants to play in the league of magic powder. Hopefully, the money will also serve to hire someone to explain in the manuals why the powder clumps or how to clean the machine without looking like a coal miner.