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Digital Catapult > Why now: Our investment in Extend Robotics
Blog

Why now: Our investment in Extend Robotics

Posted 3 Jul 2025

Since 2013, Digital Catapult has played a critical role in accelerating the growth of UK deep tech companies. We have supported thousands of UK startups in the last 10 years and, since 2018, 254 startups have raised a combined £545 million after engaging with us.  

Last year, we made our first investment. £500,000 was invested in technology business Extend Robotics made available by Innovate UK which allows Catapults to invest directly in the businesses we are supporting. The fund allows Digital Catapult to make a direct impact on high-growth potential, early-stage deep tech businesses. This enables further support for innovative startups with disruptive technology on their growth journeys. At the same time, it deepens our collaboration with exciting businesses we previously engaged. Here’s why we made our first investment. 

What is a UK deep tech startup?

The UK tech sector is growing substantially compared to other European markets. In H1 of 2025, it had a positive outlook reaching £884.76 billion in combined market valuation with 12.5% compound annual growth rate (CAGR). That is higher than the CAGR of France (12%) and almost double that of Germany (7.5%). Despite moving away from the UK’s post-pandemic peak of £30.2 trillion investment in 2021, one area remains the beacon of opportunities: deep tech. 

Deep technologies are emerging capabilities built on longer term science and engineering advances and innovation. This includes spatial computing, advanced sensors, future networks, extended reality, blockchain technologies, quantum technologies, artificial intelligence and digital twins. The UK has been making significant progress in the fields of research and development —ranking above the G7 average, even topping the chart for academic publications per thousand population. However, when it comes to its practical application and value added to the economy, the UK is just shy of the G7 average. That’s why these innovations, such as the solutions developed by Extend Robotics, need the right environment to flourish with support from multiple stakeholders.  

Our areas of interest in deep tech include spatial computing, advanced sensors, future networks, extended reality, blockchain technologies, quantum technologies, artificial intelligence and digital twins.
Extend Robotics

What is Extend Robotics? 

Dr Chang Liu founded the company in 2019. Extend Robotics enables humans to operate robots remotely using extended reality software (augmented and virtual reality, or AR & VR) to create an ultra-precise experience for non-robotics experts to intuitively operate commercial robots from remote locations. Using off the shelf equipment such as headsets and drones, the solution has the potential for application in multiple industries, from space and healthcare to nuclear and viticulture, the cultivation of grapes for wine making. Specifically, their solution can also facilitate remote working in dangerous and difficult to access environments in manufacturing industries, tackling real world challenges in UK supply chains.  

How has Extend Robotics grown so far? 

Extend Robotics has joined signature Digital Catapult programmes, such as the immersive accelerator Augmentor in 2019 and the 5G Testbed Accelerator in the consecutive year. Through these accelerators, they received expert support and unique access to deep tech facilities, allowing them to test their solutions firsthand and showcasing their potential to some of the UK’s leading investors. Since then, they have gone on to raise £335k funding in 2022, featured in major publications, participated in Connected Places Catapult’s Clean Future Accelerator and collaborated with Queen Mary University to introduce a robotic system capable of identifying ripe grapes through AI-driven visual sensors. More recently, the team successfully trailed its deep tech solution into manufacturing processes with Leyland Trucks in Preston with Paccar Australia to improve safety and productivity. Their XR-based SaaS solution, Advanced Mechanical Assistance System (AMAS), which enables users to control robotic arms remotely from anywhere in the world, also took center stage at VivaTech 2025 and caught the attention of Dragon’s Den’s longest standing Dragon, Peter Jones, on the BBC programme. Our previous collaborations with Extend Robotics are also why we chose to invest in them. 

Chang Liu, Extend Robotics at 5G Testbed Accelerator Programme

We have received tremendous support and visionary guidance from Digital Catapult since the infancy of the company. Not to mention the access to advice from strategic leadership, technology expertise, network of investors from Digital Catapult, this investment marks the next phase of deeper collaboration, to unlock the rapid growth of Extend Robotics, to make sure we remain as the leader in pushing the frontier of enabling technology to augment human with robots and AI. With the additional support of the £500,000 convertible loan note (CLN) from Digital Catapult, we were able to accelerate our AI initiatives and robot adoption in manufacturing and agriculture industries across the supply chain. We are really excited to grow the team and stay ahead of the increasing competition.

Dr Chang Liu CEO and Chief Designer at Extend Robotics

Why Extend Robotics?

Our acceleration programmes are fundamental to how we scout and support UK deep tech startups. After participating in two of our accelerators, we knew that Extend Robotics would be a good fit for our first investment. What stood out to us was a talented team of founders and a scalable software offering in a rapidly expanding market. These types of opportunities might otherwise not have been supported by others in the ecosystem, but our unique position—partnering with government, industry and academia—helps us build conviction and back what may be possible. Our goal is to support the market by being an incremental investor, supporting bold and ambitious visions. 

Why Digital Catapult?

For over a decade, we have worked closely with UK deep tech companies to support, develop and accelerate their growth. We help create the right environment for businesses to flourish–from developing a network of mentors, investment and industry contacts, to access to tools and facilities, and practical deep tech support that might not be available to small businesses without our help. As part of the Innovate UK Catapult Network, we provide an unparalleled combination of cutting-edge R&D facilities and world-class technical expertise to support UK business innovation. 

While those methods of support are crucial, adding investment into the mix for startups with high growth potential demonstrates our commitment to their success. This evolved approach to supporting businesses is a natural progression for us. Since we get an exclusive understanding of small businesses through our collaboration, we have a one-of-a-kind ability to assess the real world applications of deep technology, unlike other stakeholders in the ecosystem. We stand at the forefront of innovation bridging the gap between research and driving value for the UK economy.   

What’s next? 

We’re only getting started. As we continue to invest in startups, we plan to build a portfolio of companies with deep tech solutions around significant challenges and opportunities facing the UK’s economy. With 60 active projects running as of January 2025, Digital Catapult is always on the lookout to help innovation thrive by fostering a collaborative environment between government, industry, and academia.

If you are an investor who shares our passion for scaling UK innovation, we’d love to keep you in the loop with our Investor Newsletters. 

 

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