3 min read

Investing in the Future of Real Estate with Sphere

Investing in the Future of Real Estate with Sphere
Photo by Outsite Co / Unsplash

In the ever-evolving landscape of real estate, my wife and I are excited to announce our investment in Sphere, a company I’ve had the privilege of consulting with over the past year. Sphere’s innovative approach to 3D imaging technology is set to redefine how real estate agents showcase properties, providing an unmatched immersive experience for buyers and sellers alike. The market’s appetite for 3D imaging is clear—CoStar’s $1.6 billion acquisition of Matterport and Zillow’s launch of 3D Home tours underscore the billion-dollar demand for these solutions. Sphere takes this a step further, making high-quality 3D capture accessible to every agent, without the need for expensive equipment or specialized skills.

Why Sphere?

Sphere leverages the smartphone in your pocket to create stunning, immersive 3D property tours. Traditionally, creating these experiences required expensive hardware and specialized skills, with solutions like Matterport often necessitating costly proprietary equipment and professional photographers. Sphere flips this model on its head, offering real estate agents an affordable, easy-to-use tool that delivers high-quality output using just their phones.

As the real estate market evolves, so do the expectations on agents. Recent shifts, including the landmark NAR settlement, have put even more emphasis on agents proving their value. I explored a number of these trends in a previous post and why I think, ultimately, a new real estate paradigm will reward ambitious real estate professionals and those building tools to drive the RE practice forward.

Avg. RE commissions have been trending downward | Source: World Property Journal "Agent Commission Rates Continue to Slip Post NAR Settlement"

Commissions are now negotiable, and the pressure is on to differentiate. Sphere’s technology empowers agents to do just that—creating standout listings that captivate buyers and win more business. And as the technology progresses, there’s no reason why a single-tool solution couldn’t offer real estate professionals immersive 3D tours and all of their listing media (premium photography, floor plans, personalized virtual tours, fly-through videos), too. 

While Sphere's current application in real estate is compelling, the potential for seamless 3D capture and representation of spaces extends far beyond. Industries such as facility management, heavy equipment maintenance, and mapping & wayfinding can all benefit from this technology. The facility management market alone is projected to grow from $1.33 trillion in 2024 to $1.66 trillion by 2029, at a CAGR of 4.66% (source: Mordor Intelligence) – all signs point to a vast total addressable market (TAM) as Sphere's technology develops and scales.

The Team Behind the Vision

Sphere is led by two brilliant co-founders, Daksh and Hirday, whose technical expertise in computer vision and AI is matched by their deep understanding of customer needs. I’ve worked closely with them as a consultant (and now, investor), and their ability to rapidly iterate based on customer feedback has been nothing short of impressive. They embody the agility and humility that I believe are crucial for any startup aiming to disrupt an established industry.

Hirday, Daksh, and I showcasing Sphere at Inman NYC 2024

Why We Invested

Over the years, I’ve had a front-row seat to innovation in PropTech. At Flyhomes, I saw how technology could reshape the home-buying process, and since then, I’ve worked with numerous startups pushing the boundaries of what’s possible. What excites me about Sphere is how perfectly it aligns with the needs of today’s real estate professionals.

Sphere isn’t just a tool—it’s a game-changer. By making high-quality 3D tours accessible to every agent, it levels the playing field and enables agents to deliver premium experiences without breaking the bank. This is the kind of innovation the industry needs, and it’s why I’m confident in Sphere’s potential to lead the next wave of PropTech solutions.

Looking Ahead

Supporting Sphere is about more than just financial backing; it’s about partnering in their mission to transform how properties are experienced and sold. As someone who’s both worked in and consulted for the real estate industry, I believe this is just the beginning for Sphere. Midori & I are excited to see how they continue to innovate and grow, and we're proud to be a part of their journey.