Dell Technologies Inc.’s venture capital arm and 83North, both returning investors, participated as well, bringing Exotec’s total outside funding to $477 million and its valuation to $2 billion. Storing merchandise vertically allows a company to maximize the amount of goods that it can place on each square floor of warehouse space at its disposal, which increases operational efficiency. In the longer term, Exotec intends to hire 500 additional engineers by 2025, which hints that the startup plans to expand its product portfolio with yet more warehouse automation solutions over time. “Exotec builds scalable solutions that are an accelerant for change and supports business growth despite market disruptions.” The demand for warehouse automation equipment is driven partly by retailers that are deploying robots to help them increase operational efficiency and match the competitive delivery times offered by major e-commerce companies. The growing adoption of warehouse automation technology is driving business growth not only for robot makers, but also a broader ecosystem of startups that offer related solutions.