Quantum

Oxford spinout Mode Labs raises £3m to transform water quality monitoring with quantum-inspired tech

Armed with breakthrough tech originally developed for quantum computing, Mode Labs is set to disrupt water quality monitoring by making lab-grade chemical analysis portable, affordable, and ready for real-world use.

Oxford University Innovation (OUI) spinout Mode Labs has raised £3 million in seed funding to take chemical sensing out of the lab and into the field – anywhere, anytime. Its platform could radically change how water quality is monitored, delivering lab-grade sensitivity with 1,000 times less reagent, a fraction of the power consumption, and at just 10% of the cost of current technologies.

Born out of over 15 years of research from the University of Oxford’s departments of Chemistry and Materials, Mode Labs’ founding team includes Professors Claire Vallance and Jason Smith, CEO Dr Dean James and Head of Engineering Dr Daniel Miles-Barrett. Together, they’ve developed a patented sensing platform that uses technology originally developed for quantum computing – now repurposed to detect almost any chemical in liquid form.

This innovation couldn’t be more timely. The UK’s Environment Act 2021 mandates the deployment of tens of thousands of chemical sensors across the country’s waterways by 2035, creating surging demand for rugged, real-time monitoring solutions. Mode Labs is stepping up to meet that need.

With successful field trials under their belt, this latest investment – led by Oxford Science Enterprises, the University of Oxford Innovation Fund (UOIF), and GK Goh Ventures – will help Mode Labs grow its team, develop market-ready products, and initially focus on monitoring phosphorus and ammonia levels in rivers and streams. 

The Mode Labs platform marks a fundamental shift in how water quality and chemical sensing are carried out. Traditionally, high-resolution chemical data has been confined to centralised laboratories – costly to obtain, slow to process, and often out of reach for those who need it most. Mode Labs is changing that paradigm by integrating cutting-edge optics and quantum-inspired engineering into a portable, rugged system designed for real-world deployment. From detecting nutrient pollution in rivers to safeguarding drinking water and supporting industrial compliance, the technology is set to democratise access to high-quality environmental data.

Dr Dean James, CEO at Mode Labs, said: “This investment will unlock access to precision chemical monitoring for anyone, anytime, anywhere. With low-cost plug-and-play devices we can deliver clear and concise measurement data where it is needed most. Working with our customers, our mission is to protect the environment and human health by monitoring and reporting changes to our ecosystems in real-time, allowing for immediate intervention.”

OUI supported the spinout journey from lab bench to business, working closely with the founders to secure IP and build commercial partnerships.

Dr Chandra Ramanujan, OUI Principal Licensing and Venture Manager, said: “Mode Labs is a great example of teams working across University of Oxford departments to generate revolutionary technologies. Pre-investment support from the University Challenge Seed Fund (UCSF), the EPSRC Impact Acceleration Award and the Innovate UK ICURe Programme has been pivotal to making Mode Labs. They are now positioned to bring even more benefit to society.”

The Mode Labs team is now based at Begbroke Science Park, a growing hub for Oxford’s deep tech ventures.

Grace Wallace is the Strategy & Internationalisation Coordinator and part of the Strategy and Investment team at Oxfordshire Local Enterprise Partnership.

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