MacroFab has secured fresh investment to the tune of $42 million. Photo via macrofab.com

A Houston company has nearly doubled its total raised with its latest funding round.

MacroFab, a Houston-based electronics manufacturing platform, has announced $42 million in new growth capital led by Foundry and joined by BMW i Ventures, as well as existing investors Edison Partners and ATX Venture Partners. The platform was first launched by Misha Govshteyn and Chris Church in 2015.

“Given MacroFab’s compelling solutions to electronics manufacturing challenges and Foundry’s successful history with parallel companies, our investment is a perfect fit," Foundry Partner Seth Levine says in a news release. "This is a unique opportunity to be part of next generation cloud manufacturing and we’re excited to be joining forces with Misha and his team."

MacroFab built a platform that manage electronics manufacturing and enables real-time supply chain and inventory data. The platform can help customers go from prototype to high-scale production with its network of more than 100 factories across the continent.

“Electronics manufacturing is moving toward resilience and flexibility to reduce supply chain disruptions. These are long term trends recognized by Foundry and BMW i Ventures, who joined this round as investors,” says Govshteyn, MacroFab’s CEO, in a news release. “We are in the earliest stages of repositioning the supply chain to be more localized and focused on what matters to customers most — the ability to deliver products on time, meet changing requirements, and achieve a more sustainable ecological footprint. MacroFab is fundamental to building this new operating model.”

The company has seen significant growth amid the evolution of global supply chain that's taken place over the past few years. According to the company, shipments were up 275 percent year-over-year. To keep up with growth, MacroFab doubled its workforce, per the release, and opened a new facility in Mexico.

“Most companies have felt the pain of inflexible and fragile supply chains," says Daniel Herscovici, partner at Edison Partners, a growth equity firm focused on technology-enabled and SaaS solutions. "MacroFab’s cloud manufacturing platform is transforming contract manufacturing, enabling ‘Made in North America, faster design iteration, and increased supply chain resiliency, among its benefits. Edison Partners shares the company’s vision for addressing this more than $100 billion global market."

Misha Govshteyn, CEO of MacroFab Misha Govshteyn is the founder and CEO of MacroFab. Photo courtesy of MacroFab

MacroFab's latest $15 million round will help it expand and grow throughout North America. Photo via macrofab.com

Houston-based electronics manufacturing biz raises $15M in new funding

money moves

A Houston company that has optimized electronics manufacturing by setting up a digital platform connecting a network of factories across North America has raised its latest round of funding.

MacroFab closed a $15 million series B round led by New Jersey-based Edison Partners. ATX Venture Partners also participated, along with strategic investor Altium Limited, a leader in the electronics design software space.

The new funds will go toward keeping up with MacroFab's growth, specifically in expanding in North America and an increased investment in research and development, sales and marketing, and the opening of a new distribution center for international logistics this summer, according to a news release.

"MacroFab customers found themselves in a perfect storm last year, and went from being curious about cloud-enabled manufacturing to going all-in," says Misha Govshteyn, MacroFab CEO, in the release. "The turbulence started with the trade war and tariffs, and only accelerated with massive delays in delivering products from overseas and the ongoing microchip availability crisis.”

Govshteyn says the pandemic has affected traditional manufacturing processes. While some companies utilized manufacturing in China, international travel meant for impossible in-person troubleshooting. Digitization became increasingly optimal.

"Supply chain leaders are turning to MacroFab and our digital platform as a way to move faster," Govshteyn continues in the release. "If you're not as big as Apple, but want to build across multiple factories in parallel, our platform is the only way to do so without incurring immense costs".

MacroFab was founded in 2013 and has raised both seed and series A financing led by ATX Venture Partners and Techstars. Govshteyn and his co-founders — Chris Church, who serves as chief product officer, Chris Granberry, the company's COO — previously co-founded Alert Logic.

The trio of entrepreneurs reconvened to address an opportunity in a market that was home to an antiquated process within manufacturing. Lately, MacroFab's clients are looking to reduce waste.

"A typical electronics factory is only 60 percent utilized, according to New Venture Research, which is startlingly inefficient," Church says in the release. "A number of our customers focused on Environmental and Social Governance (ESG) issues see our ability to tap into this capacity as a step towards ecologically sustainable production."

The deal includes a new board member for MacroFab. Daniel Herscovici, partner at Edison Partners, will join MacroFab's board of directors

The company has "a proven track record of building successful SaaS and cloud infrastructure businesses together, and are now bringing supply chain innovation to the market at a time when global electronics manufacturing is facing disruption," Herscovici says in the release. "MacroFab is at the center of driving the digital transformation needed to unlock factory capacity, manufacturing agility and efficiency, and even new economic and labor markets for electronics makers across North America."

MacroFab's raise also included a new strategic partnership with Altium, one of the largest players in the electronics design space, per the release.

"Altium shares MacroFab's vision for digital transformation of manufacturing in the electronics industry," says Ted Pawela, chief ecosystem officer at Altium. "Our investment in, and partnership with MacroFab is a huge step forward in connecting design, supply chain, and manufacturing to accelerate innovation."

Houston-based MacroFab has created the Uber or Airbnb of electronics manufacturing. Getty Images

Houston electronics manufacturing company gears up for growth

On the line

It takes an unnecessarily long time for electronic devices to get from idea to reality — and much of that is due to inefficiency in manufacturing. Just getting a prototype together takes weeks of back and forth between the engineer and the manufacturer.

"The business model for contract manufacturing hadn't changed in 30 years," Chris Church says. "It was phone calls, emails, going out and playing golf, going to lunch, and negotiating everything endlessly."

Houston-based MacroFab is addressing these antiquated and outdated ways of manufacturing and changing the way electronics manufacturing is done. For its revolutionary work, the company has consistently seen its revenue at least double — sometimes tripling or quadrupling — every year, and projects to at least triple in 2019.

Addressing an underserved market
Church — who has a background in hardware development, specifically within robotics — created MacroFab in 2013 and launched the platform in 2015. Misha Govshteyn joined the board in 2014 and became CEO last summer. The duo co-founded cloud-based security-as-a-service company, Alert Logic, in Houston in 2002.

Using its custom software, MacroFab enables customers to upload their designs through the website, where they can then receive projected timeline and pricing information from the get go. The company has its own manufacturing area in its office for prototypes and small orders, but its network of large manufacturers is a key part of the MacroFab's growth equation.

The company has about 20 manufacturing plants as partners that can pick up manufacturing jobs from MacroFab customers when the plant has space on its lines up for grabs. Rather than let available capacity go to waste, these plants can easily pick up the design and materials to start production.

"It's not dissimilar to what Uber is doing with cars — there's a lot of people with cars that could give you a ride if they knew you were out there," Govshteyn says. "It's that matchmaking function is essentially what we're doing with our customers."

The manufacturing partners benefit from jobs they otherwise wouldn't have, and the MacroFab customers get access to a plant that they didn't have to do the legwork to find. Govshteyn says a he's heard horror stories from people who had orders that were unceremoniously dropped by a manufacturer because another one of its clients just placed a large order.

"That shouldn't happen. If a factory gets too busy, it should be easy enough to take that job and move it somewhere else," Govshteyn says. "But, right now, there's not a way to do that."

Using cloud technology, the MacroFab platform can easily share the design and translate it to any given factory, Church says. They also have a technology that combine smaller orders together so there's no wasted resources, which brings down the cost for the customer.

While usually a company might have to find a new manufacturer as they scale up and start making larger orders, MacroFab customers don't have to start from scratch to find a new plant that can take their order — MacroFab will do the matchmaking for them.

"We've created and are continuing to build a marketplace for excess manufacturing capacity," Church says.

MacroFab owns the customer experience and the sales aspect — ensuring a more positive and consistent experience — while the manufacturers can just take the jobs and go.

Scaling up
The manufacturing marketplace is a newer focus for MacroFab — the company just launched it in beta this year — and is a big proponent of the company's growth. Before, the company was limited to what it could produce in its own factory taking on prototype and small orders. Now, with access to the manufacturers, the company has served 1,700 customers, building 500,000 units for about 4,000 different products. Those figures, Church says, are scaling up so rapidly as they expand to new partners.

"This is the first quarter where more gets produced outside of our factory than inside of it," Govshteyn says. "By this time in Q1, 75 percent of our revenue will [come from outside manufacturing plants.]"

Since manufacturing plants haven't historically collaborated, Govshteyn says the reception from manufacturers has been "cautiously optimistic." But then they realize they are getting customers for free — all they have to do is meet the requirements and deliver on time, he says.

"It's great for them to see that their factory is only half used, but then they can fill it up with jobs from MacroFab," Govshteyn says.

Houston has been a great city for MacroFab with its port manufacturing and logistics, two things Govshteyn says MacroFab is focusing on.

"At the end of the day, we're a manufacturing company, and I think we'll dabble in logistics," he says. "There's a lot worse places to start a logistics-heavy company."

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Houston startup’s brain implant for depression advances to clinical trial

moving forward

Houston-based Motif Neurotech has received FDA approval to move forward with its first clinical trial for its innovative way to fight treatment-resistant depression and other mental health disorders.

The company has developed a brain-computer interface technology based on research from Rice University. The blueberry-sized, wirelessly powered implantable device known as the Digitally-programmable Over-brain Therapeutic (DOT) stimulator delivers electrical stimulation to brain circuits linked to depression. The DOT stimulator sits in the skull above the dura without touching the brain and is considered an alternative to transcranial magnetic stimulation, which requires multiple treatment sessions and can cause headaches.

“The goal for this technology is that it would be the mental health equivalent of a continuous glucose monitor for diabetes,” Jacob Robinson, a Rice University professor of electrical computer engineering and bioengineering and CEO of Motif Neurotech, said in a news release. “What has been really special for me personally on this journey is to be able to work all the way from a concept through the process of research and development funded by the federal government at Rice, and take that into a product that is going to affect people’s lives for the better.”

Eligible adults whose depression has not improved after trying multiple therapies can take part in the study. The clinical trial will be conducted in collaboration with Baylor College of Medicine, Brain Health Consultants (Houston), UT Health Houston, Massachusetts General Brigham, Emory Healthcare, University of Iowa, University of Utah Health and New York University, according to Rice.

Motif also announced that it was one of the first teams selected for ARPA-H’s EVIDENT initiative, which recently awarded up to $139.4 million to spur new, effective therapies for behavioral health. Through the initiative, Motif will collect additional data alongside its clinical trial.

“The idea with this funding is to support a number of teams who have rapid-acting interventions for a mental health condition and to collect additional data to help determine with greater precision whether a treatment is working, how it is working and which patients are benefitting most from which course of treatment,” Robinson added in the release.

Motif Neurotech was spun out of Robinson’s and Professor Kaiyuan Yang’s labs at Rice, along with collaborators and co-founders Dr. Sameer Sheth at Baylor College of Medicine and Dr. Sunil Sheth at the University of Texas Health Science Center at Houston. It was founded through the Rice Biotech Launch Pad. The company closed its Series A round with an oversubscribed $18.75 million last year.

New immersive experience Time Mission clocks into Houston this summer

It's Time

Time for a new immersive experience to come to Houston: Time Mission, a kid-friendly, team-based adventure, is scheduled to land at the Marq-E Entertainment District in summer 2026.

Created by LOL Entertainment, a location-based entertainment company specializing in immersive attractions, Time Mission blends physical and mental challenges in a fast-paced experience, a release says. Players take on real-world tasks like cracking codes, dodging lasers, solving riddles, and exploring hidden tunnels to earn points for their team.

Racing through 25-plus unique portals, teams of two to five players embark on a time-travel journey across the past, present, and future, all while collecting points and battling the clock. The website says the attraction is appropriate for "players age 6 to 106."

“We’ve seen a shift in how people seek entertainment, choosing immersive adventures that foster connection and excitement," says Rob Cooper, CEO of LOL Entertainment, in the release. "We’re excited to introduce [Texas] to an experience where strategy, innovation, and teamwork collide."

There are currently Time Mission locations in Pennsylvania, New York, Rhode Island, Virginia, Illinois, and Belgium. Dallas will be the first Texas location, followed by Houston.

Immersive attractions have been popular in Houston for several years, from Meow Wolf just north of downtown to interactive experiences dedicated to balloons and more.

Time Mission will be located in a 10,000-square-foot space at the Marq-E Entertainment District (7620 Katy Fwy., Ste. 355). The exact opening date will be announced at a later time.

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This article originally appeared on CultureMap.com.

7+ can't-miss Houston business and innovation events in May

where to be

Editor’s note: Houston is living up to its nicknames as Space City and the Energy Capital of the World this month with a lineup of insightful talks, pitch days and industry conferences. Plus, there are opportunities to network over crawfish, learn about brain health and more. Here’s what not to miss and how to register. Please note: this article may be updated to add more events.

May 7 – Ion Block Party and Crawfish Boil

Head to this special edition Block Party, featuring a crawfish cook-off competition among the Ion’s businesses. Competing teams include Transwestern, Microsoft, Rice Alliance, Rice Nexus, South Main Baptist, Per Scholas, Industrious and many others. Taste test crawfish while supplies last, and sip a complimentary drink from Second Draught.

This event is Thursday, May 7, from 4-7 p.m. at the Ion. Register here.

May 12 – Why the Next Decade of Breakthrough Brain Tech Matters For You, and What to Do About It

Hear from Matias Serebrinsky, co-founder and general partner of San Francisco-based PsyMed Ventures, at this talk presented by EO Houston. Serebrinsky will discuss why founders are disproportionately affected by brain health issues and look at breakthrough brain and mental health tech.

This event is Tuesday, May 12, from 11:20 a.m.-1 p.m. at Tony's on Richmond Avenue. Register here.

May 18-19 — Geothermal Transition Summit North America

This two-day summit serves as the meeting point for the geothermal and oil and gas industries and will focus on geothermal energy, including scaling plants and navigating state regulations. The event promises 40 expert speakers, 15 exhibition spaces, and networking opportunities with 250 industry decision makers.

This event begins May 18 at Norris Conference Center. Register here.

May 19 – IOT Innovation Day

IoT Innovation Day will present a series of fast‑paced, 15‑minute tech talks focused on the future of connected devices. These sessions feature insights from founders, engineers, product innovators and industry leaders. Attendees are also invited to sign up to present their own tech talk showcasing their expertise, startup or solution.

This event is Tuesday, May 19, from 10 a.m.-6 p.m. Register here.

May 20-21 — ESF North America

ESF North America returns for its 5th edition, under the theme of “innovation and adaptation.” Attendees will explore how technology, innovation, and collaboration can drive a resilient, competitive refining and chemicals industry.

This event begins May 20 at The Westin Oaks Houston at the Galleria. Register here.

May 21 – AI + Energy Sector Pitch Day

Hear from startups powering the AI boom or using AI to support the energy transition at Greentown's latest installment of its Sector Pitch Day series. Brian Walker, program manager for emerging technologies in the U.S. Department of Energy’s Building Technologies Office, will present the keynote address. Six Greentown startups will present pitches, as well as others from IMPEL, a DOE tech-to-market program, and more. Stick around for a networking happy hour.

This event is Thursday, May 21, from 1:30-6:30 p.m. at the Ion. Register here.

May 28 – NASA Stories at the Ion: A Conversation with NASA’s Artemis II Orion Vehicle Manager Branelle Rodriguez

NASA’s Artemis II Orion Vehicle Manager Branelle Rodriguez will discuss what it took to ready the spacecraft for its mission and return to Earth at this special installment of NASA Stories. Rodriguez will share insights on Orion’s high-speed reentry, the views of the Moon and Earth witnessed by the crew, and what’s next for Orion on NASA’s upcoming Artemis missions in 2027 and 2028. Complimentary breakfast and networking take place before each talk.

This event Thursday, May 28, from 8:30-10 a.m. at the Ion. Register here.

May 28 – NASA Tech Talks: Texas-France Space Hub Business Accelerator Initiative

NASA Tech Talks is partnering with the Rice Space Institute (RSI) this month to host the second cohort of the Texas-France Space Hub in Houston. The hub aims to unite academic institutions and private enterprises to expand commercial space presence in both countries. Startups from the hub will present during the event, followed by drinks and networking at Second Draught.

This event Thursday, May 28, from 6-7 p.m. at the Ion. Register here.