China-based image detection software developer Megvii Technology has secured a $20m investment from contract manufacturing company Foxconn, China Money Network reported on Wednesday.
Computer accessories manufacturer Foxteq Holdings, a subsidiary of Foxconn, made the investment, and acquired just over 2% of Megvii shares, equivalent to a stake of about 3%.
Foxconn invested in Megvii as part of a funding round that is in the process of closing, and which includes additional, unnamed backers.
Founded in 2011, Megvii uses computer vision and data mining technology to develop face detection, recognition and analysis software.
Companies like e-commerce group Alibaba’s financial services affiliate Ant Financial use Megvii’s technology to allow users to login to their accounts by capturing an image of their faces.
The Face++ platform will also be used to power computer and smartphone maker Lenovo’s facial login feature and will be available in the company’s forthcoming video call software.
Megvii raised $25m in a November 2015 series B+ round led by Innovation Works, an incubator established by former Google China president Kai-Fu Lee, and backed by investment firm Qiming Venture Partners.
The company secured $22m in the first tranche of the series B round, which also featured Qiming Venture Partners and Innovation Works, in 2014.
After an angel investment from Legend Star, a seed-stage investment incubator set up by conglomerate Legend Holdings, the majority owner of Lenovo, Megvii raised several million dollars in a series A round featuring Innovation Works in 2013.