Strategic focus to counter Amazon and Tesla, Google(GOOGL.US) reabsorbs AI robot subsidiary Intrinsic under its umbrella

robot
Abstract generation in progress

Google (GOOGL.US) is reintegrating its former “Moonshot” robotics software company Intrinsic into its core business, marking the tech giant’s effort to streamline its robotics strategy.

After more than five years of incubation within Google’s “Moonshot Factory” X project, Intrinsic became an independent subsidiary under Google’s “Other Bets” division in July 2021. This Wednesday, the company announced that Intrinsic will be reabsorbed into Google.

Despite the continuous decline in hardware costs such as robotic arms, robot programming remains highly complex, often requiring hundreds of hours of manual coding by specialized engineers, with significant differences in development logic across various robot models. Intrinsic’s core product, Flowstate, is a web-based platform that allows users to build robot applications without writing thousands of lines of code.

Intrinsic stated in its announcement, “After joining Google, we will be able to leverage our combined strengths to collaborate across cutting-edge AI—from research and development to deployment and daily operations—helping to bring industrial applications to manufacturing and logistics.”

The announcement also mentioned that the platform will soon integrate Gemini models and Google Cloud technology, working closely with Google DeepMind.

This integration elevates the software platform to a core strategic level within Google, helping the company better compete with rivals like Amazon (AMZN.US) and Tesla (TSLA.US). It also indicates that, with deeper collaboration with Google’s AI team, the company is prepared to scale its products for broader deployment.

In November last year, Intrinsic announced a partnership with Foxconn, a supplier of NVIDIA (NVDA.US), to deploy AI robots at Foxconn’s U.S. factories for electronic product assembly.

Intrinsic CEO Wendy Tan White said in the Wednesday announcement that, with Google’s AI technology and infrastructure, the company “aims to unlock the potential of physical AI, benefiting a wider range of manufacturers and developers.”

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