Agility Robotics Goes Public: CEO Peggy Johnson’s Journey and the Future of Humanoid Robots

Peggy Johnson began her career as an engineer in 1985, a time when personal computers were only starting to appear in homes. The World Wide Web was not yet invented and humanoid robots were considered science fiction. Four decades later, at 65, Johnson leads the first US public offering of a humanoid robotics company.

Agility Robotics, based in Oregon, went public through a merger with a special-purpose acquisition company, raising approximately $465 million. This funding aims to increase production and deployment of Digit, Agility’s two-legged robot designed for warehouses and factories. Despite market volatility following the midterm elections, the shares, traded under the ticker AGLT, closed at $9.90, a decrease of almost 14% from their opening.

Johnson’s career has spanned roles from Qualcomm, Microsoft’s chief dealmaker under CEO Satya Nadella, to running the startup Magic Leap. Now, her task is to commercialize humanoid robots effectively.

“I do like taking early-stage technology and pulling it through to commercialization,” Johnson shared in an interview.

Despite significant investments in humanoid robotics, the market remains skeptical on whether humans should be the model for these machines. Agility reported just $1.8 million in revenue last year against a net loss of $138.1 million. However, it has secured over $300 million in orders for 1,000 robots from a key customer with financial ties to the company.

Intense competition looms with companies like Figure AI and Apptronik gaining investor support. Tesla, under Elon Musk, has also begun producing its robot, Optimus, at the Fremont factory. Johnson believes Agility’s experience gives them an advantage.

“This is a real business problem right now, and we can fill that need that companies have for automation,” she noted.

From Dealmaker to CEO

Johnson grew up in a crowded household in Los Angeles, losing her father young. Working odd jobs put her through San Diego State University, where she earned a degree in electrical engineering. Starting her career at General Electric, she joined the then-small Qualcomm in 1989.

At Qualcomm, Johnson navigated a predominantly male environment, eventually rising to executive vice president of global market development. She was involved in launching BREW, an early mobile platform generating over $1 billion.

Former colleagues describe her as a tenacious dealmaker and runner. Two significant deals at Qualcomm — a 2002 agreement with Nextel and a $1.925 billion spectrum sale to AT&T in 2010 — solidified her prominence.

Her success caught Microsoft’s attention, leading to her recruitment in 2014. Johnson played a key role in Microsoft’s $26.2 billion LinkedIn acquisition and the creation of M12, the company’s venture capital arm.

Longing to lead, Johnson transitioned to Magic Leap in 2020, guiding its shift toward enterprise clients. However, she moved to Agility Robotics, drawn by its tangible technology ready for the market.

“I saw a working robot that could actually do real work and could deliver value to a real customer,” she stated.

Johnson’s Next Test

Now, Johnson’s challenge is to prove Agility’s value to public investors. Regulatory filings highlight hurdles: the new Digit 5’s materials alone will initially cost $150,000 each, aimed to reduce significantly with higher production volumes. Agility plans to recoup costs using a robot-as-a-service model within 18 months, contingent on scaling up production.

The company’s immediate goal is enhancing Digit’s utility for industrial customers, nearly doubling its engineering space to teach robots new skills. Agility claims to have logged 65,000 hours of operational data, which aids technology refinement.

Although Johnson sees a future for household humanoids, she doesn’t anticipate that shift in the next five years. Agility targets unmet needs in factories and warehouses, driven by labor shortages. A Deloitte study projects 1.9 million US manufacturing jobs could remain unfilled by 2033.

Acknowledging these challenges, Johnson remains focused on expanding Agility’s customer base and scaling operations to address these market demands.