Raspberry Pi markets worth £21.2bn as it nears £500m UK IPO
The financial climate will dictate the exact get-go date but market watchers are forecasting a £500 million haul from the float. Cambridge superchip architect Arm has previously invested in the company.
The company has become a global game-changer and in tech terms has travelled the equivalent of a million miles since co-founder Jack Lang, who passed away recently, stored some of the early devices in his garage.
Eben Upton, who was at Broadcom as Raspberry Pi evolved, is thrilled by the company’s journey which has helped millions of young people worldwide to understand and excel at STEM and onboard technology plays.
He says: "When we released our first product in 2012, our goal was to provide a computer that was affordable enough for young people to own and explore with confidence, giving them the chance to discover computing and get excited about it.
“But from the very beginning we saw customers using our products in a staggering variety of applications across a broad swathe of markets, and as we recognised the potential for affordable technology to make a meaningful difference not just in education but in countless other contexts, the scale of our ambition grew. Twelve years later, we have sold over 60 million units in over 70 countries around the world.
“A remarkable ecosystem of individuals and businesses has grown around Raspberry Pi, supporting both the enthusiast and industrial markets to innovate and succeed with our products.
“We're now seeing the former feed into the latter, as the first generation who encountered Raspberry Pi as young people take their experience with our technology into their professional careers, and today the industrial and embedded market accounts for 72 per cent of units sold.
“Raspberry Pi's unique culture is driven by an exceptional team, dedicated to doing excellent work that pushes the boundaries of computing innovation. We build the products we want to use ourselves, and we're not easily satisfied.
“For the Raspberry Pi Foundation, a patient and supportive shareholder, this IPO brings the opportunity to double down on their outstanding work to enable young people to realise their potential through the power of computing.
“We've hugely appreciated their support on our journey so far and are delighted that the Foundation will remain a major shareholder. Raspberry Pi enthusiasts will see the next phase of our development offer unprecedented opportunities for creativity and innovation.
“Our commitment to low-cost computing, a fundamental part of what is special about Raspberry Pi, is unchanged.
“In an ever more connected world, the market for Raspberry Pi's high-performance, low-cost computing platforms continues to expand. We have the technology roadmap to play an increasingly significant role, and we are excited to embark on the next stage of our growth.”
For the year ended December 31, revenues were $265.8m, with gross profit of $66m and operating profit of $37.5m, as well as adjusted EBITDA of $43.5m. Raspberry Pi products are available in over 70 countries.
The company maintains close working relationships with world-class technology partners, including strategic shareholders Sony and Arm, leveraging their complementary capabilities in semiconductor intellectual property development, semiconductor and electronic product manufacturing, chip design on advanced process nodes, and radio frequency and power engineering.
Raspberry Pi estimates that its current total addressable market is approximately $21.2 billion, reflecting a substantial opportunity for it to capitalise on and sustain its strong growth trajectory.
Its products are sold in three principal markets: the Industrial and Embedded sector which in 2023 accounted for 72 per cent of unit sales; the Enthusiast and Education segment, which in 2023 accounted for 28 per cent of unit sales; and the semiconductor market, which Raspberry Pi entered in early 2021 with the launch of its first semiconductor product, the RP2040 microcontroller.
