Welcome to another episode of the technical founder, the show where I meet with engineering founders and we deconstruct and demystify the science and art of building technology businesses. My guest today is Mike Flanigan. Mike is the CEO of Seasats - an autonomous aquatic drone company that manufactures drones used for scientific, commercial, and military use. When we first met, Mike was in Bahrain for the Navy's Digital Horizon event. In addition to a wonderful origin story and some technical topics, in this episode we also cover some serious territory specific to fundraising. Seasats has raised money through accelerators, rolling SAFEs and a $10M corporate round with L3 Harris. I had a blast talking with Mike and cannot wait to see what the SeaSats team accomplishes in the coming years! Mike Flanigan [CEO, SeaSats]: Accelerators, Rolling SAFEs and Corporate Rounds 0:00 /71:15 1× Highlights [10:00] The beginning of autonomous boats [35:00] Techstars [48:00] Rolling SAFEs [55:00] Corporate rounds Transcript (Provided by Otter.AI) SUMMARY KEYWORDS people, company, accelerator, money, techstars, big, autonomous, talking, customer, boat, business, project, engineering, ocean, build, product, bit, super, investors, sensor SPEAKERS Announcer, Ryan Rosztoczy, Mike Flanigan Announcer 00:12 Welcome to the technical founder Ryan Rosztoczy 00:26 Hello again, this is your host Ryan Rosztoczy. Welcome to another episode of the technical founder, the show where I meet with tech founders to deconstruct and demystify the science and art of building technology businesses. My guest today is Mike Flanagan, Mike's the CEO of sea sets, an autonomous aquatic drone company that manufactures drones used for scientific, commercial and military use. If autonomous ocean drones aren't enough for you, in this episode, we cover some serious territory specific to fundraising. CSAT has raised money through accelerators, rolling safes, and a $10 million corporate round with L three, Harris. Without further ado, let's hop in. Here. Hey, awesome to have you on the show. Mike Flanigan 01:16 Thanks. Thanks. Yeah. Glad glad to be on here. Yeah, kicking off. Ryan Rosztoczy 01:21 So one thing I just wanted to mention at the beginning, we can give some context for the audience. But last time I talked to you, you you were in Bahrain. Mike Flanigan 01:31 Yeah, that. Yeah, man. It is. It's funny that that is like a whole, like whole another roller feels like so much has happened with like Christmas and the holidays in between. But yeah, that was last when we first assumed I was in a hotel or mountain Bahrain. Ryan Rosztoczy 01:46 Yeah. So what were you there for? Mike Flanigan 01:50 So out there for the Navy was running an exercise? That's like, yeah, you can look it up online. It's called Digital horizon. And they were hosting an event where they're really trying to up their game and unmanned systems and robotics and AI. So they invented a whole bunch of different it was like 10, to 15, different robotics, all in the maritime space. So both companies, one or two drones, aerial vehicles, and then some AI companies ought to go out there and help them really kind of push forward, push further use of those tools. And like their main focus for that was maritime domain awareness, which, to the commercial world is very similar to like the illegal unregulated fishing kind of mission set. Hmm. Ryan Rosztoczy 02:35 Okay. Okay. So trying to basically just track what's going on in the, in the oceans out there, essentially, Mike Flanigan 02:43 exactly, which makes sense for robotics, if you're always trying to take up the stuff that I would say, just like the 70% time, it's the time where humans are out there waiting. And that is just as expensive as the other stuff and way more boring. And, essentially, you're cutting out all this cost. So like for coastguard ships, or for the Navy, or for a lot of stuff, you're just out there patrolling in the ocean, and you're keeping all these humans, you know, fed happy, healthy, safe. In steel boats. It's pretty expensive. It's pretty difficult, and you're keeping people away from their families. So a much better model kind of of the future is like, hey, you've got all these drones out there. They're kind of seeing what's going on what's normal. And then if something bad happens, it's like, hey, some, either someone's fishing where they shouldn't be or some boat was traveling into someone's waters, where they shouldn't be anything that yeah, there's a lot going on in the world of people getting another waterways and creating global tension. So if you can, that was their hope. It's like, Hey, can we have more patrols understand what's happening in these water waterways? Yeah, take advantage of droughts. Ryan Rosztoczy 03:50 That is a mind blowing thing to think about this, like the 70% time yeah, what during the sort of boring, uneventful periods, you still need something terrifying. It's boring and uneventful. Yeah, I love that. Mike Flanigan 04:06 Yeah, it's like the you know, I can like Hollywood like bank robbery movies. I'm sure there's a scene like this in Ocean's 11 or something. When like, there's a bank of 20 CCTV cameras and some security guard is like supposed to be watching them all. And then you see from the like, over the shoulder video, you see like in the top guy go through, but then it like cuts to the fake video feed. It's like, Oh, if he'd been looking there who would have known? And it's like, okay, that's the case for like, why you need you know, AI running, like on 20 different video streams all at once. Just like it doesn't get tired. It doesn't need to take a sip of coffee. It doesn't need to go to the bathroom. Ryan Rosztoczy 04:41 I love it. Yeah, he took a bite of his doughnut right when George Clooney walks in the door. I don't want to go too deep here, but just out of curiosity, how much doubt all of the different focuses you just talked about robotics AI? What If you guys focus, do you have one or you like an integrated platform? What? What is CSAT? Mike Flanigan 05:05 Good question. So for us, really, we focus on being a platform. So we try to carry mature sensors out into the ocean, we will love working with sensor companies that already have because that means that hit customers exist, like, and when I say sensor companies, I'm talking about, like a water quality sensor like a CTD, or ICA these multiparameter songs that measure like turbidity, or acidity pH like all these different parameters, and is basically Hey, we can go carry that out into the ocean, or like for the Navy, it's like an AI s node, something as simple as that. It's just an antenna. It's collecting traffic on who's in the area who's doing what cameras, basically any kind of mature existing sensor, we can stick those on use this as a truck to carry it out into the ocean and put it where it needs to be. Ryan Rosztoczy 05:56 Okay, awesome. And so you have the drone, and then I assume some software that's driving it, essentially, or? Mike Flanigan 06:03 Yeah, that's a great. So I guess the first thing I said was like, Okay, how do you give a simple answer, it's like, a truck. That's the difficult answer, the more encompassing answer that also captures the second bit of our strategy is we do do a bit of everything. The reason we do that is because customers really like particularly in our field, need vertically integrated solutions that, hey, I want something that solves my problem. They're like, Oh, I don't want another there. Because it's so easy. There's so many different sensors that they can go to and be like, Oh, I can buy this sensor. And I was like, how do you get it? They're like, Okay, now you buy some other thing. And then you need to put them together. And then it's like, who provides the data? It's like, oh, well, you know, go get an account with iridium, the satellite provider, and then great, now you've got to go into your email. Okay, cool. Now I need a data scientist or someone to create a spreadsheet, well, a spreadsheet kind of sucks, can't we have something nice. And so for us, it's really important, like, we always try to do things end to end. So we do. We do both side software, we do communications, we do. Like front end software, like database stuff, we do kind of a dizzying amount, like we do way too wide of a tech stack. But at the end of the day, when it works, like when we've finished a payload integration, when someone's something's like in our run of the mill, library, like earlier today, we had a customer that was like looking to buy some vehicles and go do a mission. And we're okay, we can't, you know, do production timelines, we can't get your new vehicle set. But you can learn this other on we've got another one near you. And you we've already run that pillar that you want to do, like, can you just plug it in? someone's like, how long is that gonna take to integrate some sort of like, man, really, it's like, maybe two hours, like, you know, it's like, screws and cables that you plug in. Like, it's pretty straightforward. We've done it before. So that is kind of like the Grail when it's like, plug and play fast. super straightforward. Ryan Rosztoczy 07:50 Yeah. So it's like, you've got this platform you can accomplish, like, whatever objectives your clients need to. And then with everything around it, you're sort of building like the user interface, like making sure that clients can use it to accomplish what they need to. Mike Flanigan 08:05 Yeah, that's like, our iPhones, like simple like, definitely not. That's a crazy complicated. So much engineering on iPhone. But is it simple for user? Like, yeah, totally. It's like super intuitive. And so that's, it's like, okay, which striving towards that sort of thing. I have a lot of complexity hidden away under there. Ryan Rosztoczy 08:25 Yeah. Well, I'm looking at I'm actually looking at the picture from the one o