German Robotics Startups German Bionic and Coboworx File for Insolvency Amidst Funding Difficulties

Two prominent German robotics startups, German Bionic and Coboworx, have recently filed for insolvency despite notable technological advancements and revenue growth. German Bionic, based in Augsburg, specializes in exoskeletons designed to assist workers in heavy lifting. Founded in 2017, it filed for insolvency after a failed financing round, with insolvency proceedings initiated at Augsburg District Court. The company employs around 70 people and intends to continue operations uninterrupted while seeking strategic investors. CEO Armin G. Schmidt cited unexpected withdrawal of investment commitments as the main cause, despite positive revenue trends and a dynamic market. German Bionic hopes to secure new investment by the first quarter of 2026 to maintain economic viability and protect its technological assets.

Similarly, Coboworx, a startup from Salmtal founded in 2019, focused on developing robots to automate physically demanding manufacturing tasks, has filed for insolvency despite significant revenue growth and raising over 11 million euros from investors shortly before insolvency. CEO Olaf Gehrels envisioned a future with robots easing factory workers' burdens, but despite promising revenues, the company struggled with profitability and the constant need for external capital. Insolvency administrator Ingo Grünewald highlighted that Coboworx was unable to attract further investment due to a challenging economic environment and a risk-averse German startup culture. This reluctance to invest and adopt new technologies, as noted by experts Christoph Stresing and Mirko Holzer, poses substantial barriers for startups transitioning into established businesses.

Both cases exemplify broader challenges in the German startup ecosystem, where fears of failure and cautious investment practices hinder growth, even in companies delivering innovative robotics solutions. While German Bionic and Coboworx aim to find new investors to continue operations and preserve jobs, their insolvencies underscore the financial vulnerabilities faced by tech startups despite their technological progress and growing market demand.