RICOS Co. Ltd. (Head Office: Chiyoda-ku, Tokyo; Representative Director: Yu Ihara; hereinafter “RICOS”), a technology company that leverages AI and simulation technologies to improve the efficiency and value of product design, is pleased to announce that it completed approximately JPY 600 million in financing in July 2025. The financing consisted of a third-party allotment of shares to XTech Ventures, mint, DRONE FUND, the UT Founders Association Fund, Yamanashi Chugin Management Consulting, and Hiroshima Venture Capital, as well as debt financing from The Hokkoku Bank.

■ About RICOS and the Purpose of the Financing
RICOS is a technology company that optimizes manufacturing processes by combining CAE (Computer Aided Engineering)*1 with AI and high-performance computing technologies. In product design and development, CAE is widely used to create virtual product models and simulate physical phenomena such as fluid flow and heat transfer. However, achieving high simulation accuracy often requires substantial computational time, creating a major challenge for engineering teams.
To address this issue, RICOS developed and patented IsoGCN, an algorithm that combines CAE and AI to predict simulation results at high speed, in 2020. RICOS subsequently launched RICOS Lightning, an AI-CAE software solution based on the IsoGCN algorithm, which is currently used for fluid and thermo-fluid simulations. RICOS is currently collaborating with multiple automotive and machinery manufacturers. We are also continuing to enhance IsoGCN and develop new AI algorithms capable of representing a broader range of physical phenomena with greater accuracy, with ongoing upgrades planned for RICOS Lightning.

In addition, RICOS launched RICOS Generative CAE, its automated geometry modification and optimization software, last year. The solution is already being used in collaborative projects with multiple companies, including Daikure Co., Ltd., a developer, manufacturer, and distributor of civil engineering and construction materials, as well as automotive manufacturers. The system is integrated with Truck,*2 RICOS’s open-source CAD kernel, and is being developed to optimize structures, material selection, component placement, and geometry with objectives such as improving product performance and reducing costs.
The funds raised will be used to further develop RICOS Lightning and RICOS Generative CAE, advance R&D aimed at improving the accuracy of AI algorithms for CAE, and strengthen recruitment of product development engineers and business development professionals, including talent focused on international expansion.

■ About IsoGCN, RICOS’s AI Algorithm for CAE
IsoGCN, an AI algorithm developed by RICOS, enables rapid and highly accurate prediction of simulation results. Designed specifically for simulation data, IsoGCN offers the following four key features:

① High-speed computation: By reducing the computational workload compared with conventional simulations, IsoGCN enables significant acceleration of simulation processes.
② Detailed understanding of 3D data: IsoGCN can capture three-dimensional geometries in detail, making it well suited to predicting the complex shapes commonly encountered in product design.
③ Potential for geometric extrapolation: By incorporating methodologies used in fluid, thermal, and structural analysis, the algorithm can provide reliable predictions for entirely new product geometries, similar to conventional simulation approaches.
④ Ease of use: RICOS Lightning can reduce the need for the rigorous meshing processes traditionally required for CAE simulations. This helps users become productive more quickly and enables broader use by designers, product engineers, and other professionals who are not dedicated simulation specialists.

RICOS has demonstrated cases in which simulation times were reduced from several days to just a few minutes while maintaining sufficient accuracy. Near-instant access to simulation results also brings real-time product design closer to reality. Applications to date include aerodynamic analysis of automobiles, thermal analysis of electronic components, molding analysis of resin products, and thermo-fluid analysis of gases.

Through its products, RICOS aims to make scientific computing more accessible and effective across all areas of manufacturing and, ultimately, to create a world in which optimal product performance can be designed almost instantaneously.

*1 CAE (Computer Aided Engineering) is an engineering approach that uses computers to perform product design and simulation in order to develop higher-quality products. By reducing the need for costly and time-consuming physical prototypes and experiments, CAE is widely used across product development environments.
*2 Truck is an open-source CAD kernel developed by RICOS using the Rust programming language (GitHub).

■ Comments from Our Investors and Financing Partners
▼ Kohei Ogino, Investment Manager, XTech Ventures
“RICOS has world-class technological capabilities in AI-powered simulation acceleration, and we believe the company has the potential to become a global game changer in this market. The management team is also exceptionally strong, and we look forward to seeing RICOS grow into a globally successful, research-driven startup from Japan. We are pleased to support the company on this journey.”

▼ Yusuke Okazawa, Principal, mint
“When we made our previous investment, we were deeply impressed by the exceptional team led by founder Yu Ihara and by RICOS’s outstanding technological capabilities. As expected, the company has steadily expanded its business and further demonstrated its growth potential, including through the acquisition of international customers. We highly value this progress and have decided to make an additional investment in this round. We look forward to continuing to support RICOS’s further growth.”

▼ Koki Omae, Co-Founder and Representative Partner, DRONE FUND
“We are pleased to continue supporting RICOS through a follow-on investment after our initial investment in 2023. To realize the ‘drone and air mobility-based society’ that DRONE FUND envisions, continuous improvements in aircraft design and performance will be essential. RICOS’s CAE technology is already gaining traction across industries, including the automotive sector, and we expect its applications to expand significantly into drones and air mobility as well. We will continue strengthening our support for RICOS as we work together toward realizing a society built around drones and air mobility.”

▼ Yutaka Ito, UT Founders Association Fund
“The UT Founders Association Fund has decided to make an additional investment in RICOS following our previous investment round in October 2023. The need for advanced AI-powered simulation in manufacturing processes is shared globally, and we see significant potential for RICOS’s technology to expand beyond major Japanese manufacturers to companies around the world. As a community of entrepreneurs from the University of Tokyo, we are committed to supporting founders from Japan who are taking on global challenges.”

▼ Fuminori Nittōno, Representative Director, Yamanashi Chugin Management Consulting
“We decided to invest in RICOS because we believe its AI-CAE simulation software can make a significant contribution to solving challenges faced by manufacturers through approximately 100-fold faster computation, reduced engineering effort, and improved accuracy, while also contributing to the sustainable development of regional economies.
In addition to providing financial support, we will continue to actively support the company’s growth and development as a regional financial institution.”

▼ Koichi Furukawa, Senior Associate, Hiroshima Venture Capital
“Above all, we were impressed by Mr. Ihara’s extraordinary passion for CAE. RICOS’s IsoGCN technology represents a new generation of CAE, capable of delivering fast and highly accurate analysis even with limited amounts of data, and we believe it can become a powerful tool for manufacturers. We were also impressed by the team’s commitment to technology and how clearly that dedication is reflected in the product. We look forward to supporting the adoption of RICOS’s technology in Hiroshima, one of Japan’s major manufacturing regions.”

▼ Kosuke Nakamura, Manager, The Hokkoku Bank
“We decided to provide financing because we believe RICOS’s AI and simulation technologies can advance CAE analysis and significantly reduce the time required for prototyping, design, and engineering calculations across manufacturing industries, including automotive, thereby bringing meaningful innovation to product design and analysis.
Going forward, we will continue to support RICOS in expanding the application of its technology across a broader range of industries, including manufacturers in the Hokuriku region.”

■ About RICOS Co. Ltd.
Company Name: RICOS Co. Ltd.
Founded: December 2015
Address: 2-3-2 Marunouchi, Chiyoda-ku, Tokyo, Japan
Representative: Yu Ihara, Representative Director
Corporate Website
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