Autodesk’s Second Investment in Factory_OS Fuels Innovation in Industrialized Construction, Automation & Workforce Training

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image of factory w/ building overlay

I’ve always been inspired by companies that are redefining their industries from the inside out—especially when they do it with a clear purpose to create positive change. That’s exactly what Factory_OS is doing. As a modular construction startup leading the charge in innovation and social impact, I’m thrilled to share that Autodesk is not only continuing its first investment in the company but also making a second one today. For years, Autodesk and Factory_OS have collaborated to leverage technology in transforming the construction process. Now, with design and engineering under one roof, Factory_OS is set to streamline collaboration and resolve issues more efficiently. Here's how:
  • Digital tools like laser plotting boost both efficiency and quality.
  • Automated cutting machines increase worker productivity.
  • A dedicated space for innovation allows testing of new techniques that can later be scaled across the production line.
Beyond improving internal operations, this partnership helps us refine our products to better support these workflows for all customers. The result? A ripple effect across the industry, accelerating prefabrication and digitization. It also gives us valuable insights into reskilling workers as the industry evolves through technology and automation. Both companies are united in the mission to make housing more affordable and better for workers. For us, that means helping bring high-quality, cost-effective homes to market faster while enhancing the skills of the workforce.

inside of building factory

I recently sat down with Rick Holliday, co-founder and CEO of Factory_OS, to hear his thoughts on the investment and what it means for the future of the company: “Breaking down the barriers between design and construction has long been a challenge in industrialized building. With Autodesk, we’re creating real integration that speeds up the process and improves training from start to finish. This second investment will help us move even faster and make modular housing more accessible.” As an essential business, Factory_OS is setting new standards for prefabrication. Based in Vallejo, California, the company is tackling the affordable housing crisis head-on by applying manufacturing principles to homebuilding. Their model reduces costs by about 20%, builds homes 40% faster, and cuts material waste by 70%. This is a game-changer for families who need affordable, high-quality housing in today’s expensive real estate market. Last fall, Factory_OS completed an entire affordable housing complex in West Oakland in just 10 days—a process that would typically take over a year using traditional methods. They're also currently building supportive housing for formerly homeless individuals in San Francisco, marking the city’s first use of modular construction for such a project. This approach has saved millions and cut the timeline by at least a year. The company has 10 such projects in the pipeline, including six in Los Angeles.

workers cutting wood in a factory

What stood out to me was how Factory_OS adapted during the pandemic. While much of the construction industry slowed or halted, the company was deemed essential due to its critical role in affordable housing. Their use of digitization, worker training, and prefabrication allowed them to quickly adjust their facility to ensure safety and efficiency. They implemented touchless processes, increased remote collaboration, and maintained operations—all thanks to the support of Autodesk technologies. Factory_OS is now using the Autodesk investment to further enhance workforce training. Larry Pace, co-founder and COO, shared:

Read more about our first strategic investment in Factory_OS

“We're creating a culture where automation is seen as an opportunity, not a threat. By investing in people and technology with Autodesk, we’re developing solutions that improve jobs and the way we build. Adding software like Revit and BIM 360 to our team’s skillset has made them more productive, better paid, and more efficient in delivering affordable housing. The partnership and investment from Autodesk have been invaluable.” I’m genuinely excited about the future of our partnership with Factory_OS. Together, we’re pushing the boundaries of prefabrication, automating workflows, and building multifamily homes in a more affordable and sustainable way. Learn more about Factory_OS and how they’re shaping the future of construction.

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