Logistics technology startups are getting attention, and financial backing, from some tech sector heavyweights. The Wall Street Journal reports that supply-chain software business Noodle Analytics just raised $25 million from investors including the venture-capital arms of aerospace and industrial conglomerate Honeywell International and business-software company ServiceNow.
The new financing highlights the growing interest corporations have in startups they think can help streamline their operations since the pandemic began disrupting supply chains.
Read more: How AI Is Tackling Waste in Factories and the Supply Chain
Honeywell says it was drawn to Noodle.ai’s potential to help the 116-year-old company improve how it manages its assets and eliminate waste. San Francisco-based Noodle.ai says its artificial intelligence draws on data to recommend ways to speed up shipments and to navigate supply-chain snarls. Venture investment in supply-chain startups has receded this year, with financial backing down some 39% in the second quarter and the deals down 35% from a year ago.
