Labby Inc, an early-stage startup specializing in AI-enabled optical sensing solutions for raw milk testing, today announced it has raised $480,000 in seed funding. AgriTech Capital, a strategy and investment firm specializing in innovation and technology in the agribusiness sector.

The global dairy farming industry loses $32 billion annually due to mastitis infections. At a minimum, twenty-five percent of cows each year are impacted regardless of how well managed a farm is. Farmers lack a way to quickly and easily identify mastitis at an early stage so they can take preventative measures to reduce the impact on yields. With Labby’s solution, farmers and dairy processors finally have a way to quickly and easily test raw milk gaining visibility into animal health, milk quality, and feed efficiency, enabling them to optimize their operations.

This is the first seed round for the company and the financing will help with the development of Labby’s products, including the next generation of its handheld solution and in-line sensing integration unit. A handful of dairy farms in North America will start piloting the technology before the end of the year. In addition, Labby will use the funds to build out its operations and expand the team.

Labby participated in the Techstars Lisbon Accelerator in 2020 and Dairy Farmers of America innovation program in 2019 and was a MassChallenge finalist in 2018. The two co-founders are MIT alumni from the Media Lab and the System Design & Management program.