Why we invested in Kraftful, user interfaces for smart home devices
The Internet of Things (IoT) and increasingly ubiquitous 5G connectivity are fueling the development of apps and connected devices for smart home functionality.
But the proliferation of connected devices is leading to an often fragmented smart home user experience. An array of different user interfaces (UIs) can result in underwhelming consumer experiences. While the need for enterprise-level IoT apps is growing, many companies don’t have the expertise or interest to build their own solutions.
That’s where the Kraftful platform comes into play. Kraftful has developed a solution to unify UIs for IoT devices and applications. The company is targeting a $22 billion market, and we think it is addressing a significant customer pain point: usability. Because of the company’s market potential, we joined Kraftful’s $2 million seed round — alongside Precursor Ventures and Leadout Capital. Among the earlier investors in the company were Y Combinator and Google.
Initially, Kraftful is focusing on consumer hardware companies across multiple verticals, such as consumer electronics, consumer goods, electrical manufacturing, furniture and retail. The company started in 2020 by developing a standardized UI for smart home devices, such as thermostats, energy management and security devices.
Kraftful’s growth strategy depends on attracting developers to its platform. Its UI design tools and cloud infrastructure are designed to support a wide range of smart home devices and software solutions.
In addition to facilitating development of UIs, the Kraftful platform provides a cloud-based solution for account set-up, device provisioning, security, and analytics. Kraftful Analytics will provide product managers insights into the effectiveness of their apps. The new product is in beta testing mode.
We believe Kraftful has the potential to support a suite of UI solutions similar to Xioami’s MiOT Ecosystem. Xioami has augmented its smartphone business by creating a cloud-based network for smart home devices and apps that connect appliances, security devices, smart watches, and personal care products.
Kraftful’s team has a game plan to grow in tandem with the rapidly expanding IoT universe. Yana Welinder, CEO and co-founder, was previously head of product at IFTTT – an app integrator – and a product manager at Carbon. She's also a Stanford fellow and Harvard graduate.
Usability and good customer experiences are keys to the success of connected devices. We think Kraftful has the potential to help companies develop and measure IoT applications that get results.
Brandon Hoffman is an investor at Samsung Next. Samsung Next's investment strategy is limited to its own views and does not reflect the vision or strategy of any other Samsung business unit, including, but not limited, to Samsung Electronics.
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