Technology
5 min
Revolutionizing Localized Manufacturing with Supply Chain AI and Robotics
Founded by Haohan Xu in February 2023, Xmaker aims to revolutionize localized manufacturing through the use of AI, robotics, and flexible global supply chain technologies. The mission is to significantly reduce the overall cost of goods and create more efficient manufacturing processes.
July 16, 2024
The Challenge
Haohan observed a stark disparity in construction costs: in the United States, the average cost of building residential houses is nearly $2,000 per square meter, while in Asia, it’s around $200. Labor costs alone account for over 60% of construction expenses. This issue is not isolated to construction but extends to other sectors such as food production.
Traditional free trade mechanisms are insufficient to address these cost disparities.
The Solution
Localized manufacturing powered by AI and robotics presents a viable solution. By utilizing AI technology, standardized components, and a global supply chain, even labor-scarce developed countries can achieve efficient local manufacturing. This approach mitigates the negative impacts of restricted labor mobility, while labor-rich countries can focus on producing standardized components closer to raw material sources. The result is a balanced global division of labor, fostering a collaborative, soft supply chain that reduces costs and supply shortages.
Technological Transformation
Haohan Xu believes that AI and robotics are transforming global supply chains by enhancing production efficiency and precision while reducing costs. This enables businesses to respond more flexibly to market changes and customer needs.
Founding Xmaker
The release of ChatGPT on November 30, 2022, marked a significant milestone in AI development. Inspired by this, Haohan founded Xmaker three months later.
Haohan Xu, a Columbia University graduate with a background in operations research and computer science, also founded Apifiny and Roxe during his college years, gaining valuable entrepreneurial experience.
Support and Mentorship
Haohan received crucial support from his father, Maodong Xu, a prominent serial entrepreneur in the internet industry. Maodong Xu has a track record of founding successful companies like Xinghe Interconnected, Wowo Group, Percent Connect, Micro Network, and Focus Wireless. He has invested in listed companies such as Chinese Online and AIGLAS, and unicorns like Yunjia, Pimax, and Panda Selected. Known for pioneering life service e-commerce and industrial internet concepts in China, Maodong has now turned his focus to supply chain AI.
Successful Implementations
In sectors requiring highly localized, AI-driven, and robotic manufacturing, Xmaker has demonstrated significant success. This is particularly evident in the construction and food industries, where AI and robotics have streamlined manufacturing processes and connected manufacturers with customers more effectively.
Conclusion
Xmaker is pioneering the future of localized manufacturing with AI and robotics, bridging the gap between global supply chains and local production needs. By focusing on house building and virtual restaurants, Xmaker is setting the stage for a new era of efficient, cost-effective manufacturing.
The journey has just begun, and Xmaker continues to innovate and expand, proving that AI and robotics are the keys to solving some of the most pressing challenges in global manufacturing.
