Tips:TTFnews：Chinese drone maker SZ DJI Technology Co. secured a US$75 million investment this week that values the company at roughly US$8 billion, according to people familiar with the situation, propelling the firm into an exclusive club of startups and signaling Silicon Valley's high hopes for the commercial promise of flying robots.
Venture-capital firm Accel Partners said its US$75 million investment in SZ DJI Technology is one of its largest ever.
"We think [the drone sector] is still an early market, but one that we think is a new global technology category," said Sameer Gandhi, who led the investment for Accel, based in Palo Alto, Calif. "This is the company we believe is going to be the leader in that category."
The Accel deal flows out of broader DJI fundraising talks reported last month by The Wall Street Journal that could ultimately value the drone maker at around US$10 billion. Those talks continue with other potential investors, according to one of the people familiar with the situation.
DJI says venture firm Sequoia Capital already is an investor.
DJI, based in Shenzhen, China, has quickly become the world's top consumer drone maker by revenue, expecting to exceed US$1 billion in sales this year, compared with US$130 million in 2013, according to people familiar with its finances.
Frank Wang, chief executive of DJI, founded the company in his Hong Kong dorm room in 2006. Seven years later, DJI released the Phantom, a 2.8-pound drone that is easy to fly and shoots high-definition footage. It quickly became a hot seller, used by photographers and filmmakers world-wide to capture impressive aerial footage - though the devices also have caused security scares, including an incident in which a user landed one on the White House lawn.
Investors have been excited about drones' commercial potential since technological advances several years ago started making them more powerful and easier to fly. Dozens of drone hardware and software firms have been funded, but Accel's investment in DJI appears to be the largest single investment in a consumer-drone firm. DJI's top rival, California-based drone maker 3D Robotics Inc., has raised more than US$100 million over multiple funding rounds.
DJI also has attracted attention for being a Chinese company that has helped lead innovation in an industry.
"I think we all know that there are really amazing companies that come out of China," said Mr. Gandhi of Accel. But "I actually think this is one of the first companies that is the technological innovator that emerged from China."
