Varjo

Varjo is a technology company.

Active

Updated: Jan 22, 2026 ·

Recent News & Mentions

Sep 1, 2022FundingVarjo - Series D Aug 1, 2020FundingVarjo - Series C Oct 1, 2018FundingVarjo - Series B Sep 1, 2017FundingVarjo - Series A

Financial History

Varjo has raised $133.0M across 4 funding rounds. Most recently, it raised $40.0M Series D in September 2022.

Total Raised

$133.0M

Valuation

N/A

Funding Rounds Raised

Date	Round	Other Investors
Sep 1, 2022	$40.0M Series D	Atomico, Cherry Ventures, EQT Ventures, Expedite Ventures, Kompas VC, Lifeline Ventures, Cornelius Boersch, Daniel James, Markus Ertler, Peter Carlsson
Aug 1, 2020	$54.0M Series C	Atomico, Cherry Ventures, EQT Ventures, Expedite Ventures, Kompas VC, Lifeline Ventures, Cornelius Boersch, Daniel James, Markus Ertler, Peter Carlsson
Oct 1, 2018	$31.0M Series B	Atomico, Cherry Ventures, EQT Ventures, Expedite Ventures, Lifeline Ventures, Daniel James, Peter Carlsson
Sep 1, 2017	$8.0M Series A	Cherry Ventures, DST Global, EQT Ventures, Expedite Ventures, Lifeline Ventures, Daniel James

Financial History

Varjo has raised $133.0M across 4 funding rounds.

Total Raised

$133.0M

Valuation

N/A

Deep Dive

High-Level Overview

Varjo Technologies Oy is a Finnish company founded in 2016 that develops high-resolution virtual reality (VR) and mixed reality (XR) headsets designed for enterprise and professional use, particularly in demanding applications like training, simulation, design, engineering, research, and medical fields.[1][2][3] Unlike consumer-grade devices, Varjo's products deliver human-eye resolution clarity, with key offerings including the XR-3 and VR-3 (launched 2020), consumer-available Aero (2021), and the latest XR-4 Series (announced 2023, refreshed October 2025 for simulation training).[1][5] The company serves industries such as automotive, aerospace, military, and manufacturing, solving problems like the need for photorealistic immersion in high-stakes environments where real-world training is costly or risky.[2][3][5] Varjo has raised over $200M in funding, including €20M venture debt from the European Investment Bank in 2021 to fuel R&D amid COVID-19 challenges, demonstrating strong growth momentum in industrial XR adoption.[1][2]

Origin Story

Varjo was founded in 2016 in Helsinki, Finland, by four former executives from Nokia and Microsoft: Niko Eiden (CEO of optics firm Pixieray, Helsinki University of Technology alum), Klaus Melakari (20+ years in R&D, ex-Head of Computational Vision at Microsoft Mobile and Nokia architect, M.Sc. in Electrical Engineering), and Urho Konttori (product innovator with 15+ years at Microsoft/Nokia, holder of 10+ patents in cameras/VR, B.Sc. in Algorithms).[1][3][4] These founders drew from their experience in high-end hardware, software, and innovations like VR headsets and novel sensors to address gaps in professional-grade XR beyond consumer toys.[1][3] Early traction came from specializing in ultra-high-resolution devices for enterprises, leading to rapid product launches like the third-gen XR-3/VR-3 in 2020 and XR-4 in 2023, alongside $200M+ funding that solidified its position despite pandemic headwinds.[1][2]

Core Differentiators

Varjo stands out in the XR market through these key strengths:

Human-eye resolution and industrial focus: Delivers unprecedented visual fidelity for photorealistic experiences in simulation, training, and design, far surpassing consumer headsets—e.g., XR-4 Series with advanced depth sensing (ToF) and spatial audio via partnerships like Analog Devices.[1][3]
Purpose-built for enterprises: Tailored for mission-critical uses in military, aerospace, automotive, and medical sectors, with military-grade headsets, software integrations, and services for secure, scalable training across air/land/sea.[2][5]
End-to-end ecosystem: Beyond hardware, offers advanced software, expert services, and collaborations (e.g., ADI for audio/visual tech tested in innovation hubs), enabling seamless multi-user sessions and real-world preparedness.[3][5]
Developer and integration edge: High developer experience via robust APIs, noise-reducing mics, DTS sound, and refresh for simulation in 2025, plus non-dilutive EIB funding for sustained R&D.[2][3]

Role in the Broader Tech Landscape

Varjo rides the wave of industrial XR adoption, where mixed reality transforms high-risk training (e.g., fighter pilots, factory workers, medical students) and design workflows, amplified by post-COVID digitalization and EU innovation policies.[2][3][5] Timing is ideal amid surging demand for cost-effective, safe simulations in defense and manufacturing, fueled by market forces like graphical processing advances and partnerships (e.g., Analog Devices for XR-4).[3] Varjo influences the ecosystem by pioneering enterprise-grade hardware that spills over knowledge to EU businesses/research, crowding in private investment, and setting standards for immersive tech in non-gaming sectors—positioning Finland as an XR hub.[1][2]

Quick Take & Future Outlook

Varjo is poised to dominate military-grade and industrial XR, with the 2025 XR-4 refresh signaling deeper penetration in simulation training amid rising geopolitical tensions and AI-enhanced realities.[1][5] Trends like spatial computing integration and edge AI will shape its path, potentially expanding to more medical/research apps while leveraging €20M+ funding for global scale.[2] Its influence may evolve from hardware leader to full-stack XR platform provider, driving virtual world adoption in preparedness-critical industries and reinforcing its edge over consumer-focused rivals—cementing Varjo as the go-to for human-eye precision in professional immersion.[3][5]

Sources

Frequently Asked Questions

How much funding has Varjo raised?

Varjo has raised $133.0M in total across 4 funding rounds.

Who are Varjo's investors?

Varjo's investors include Atomico, Cherry Ventures, EQT Ventures, Expedite Ventures, Kompas VC, Lifeline Ventures, Cornelius Boersch, Daniel James, Markus Ertler, Peter Carlsson, DST Global.