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 which is ServiceNow.
The new financing highlights the growing interest of corporations in startups that they think can help streamline their operations since the pandemic began to disrupt supply chains.
Read more: How AI Tackles Waste in Factories and Supply Chains
Honeywell said 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 crunches data to recommend ways to speed up shipments and navigate supply-chain snarls. Venture investment in supply-chain startups is down this year, with funding backing up 39% in the second quarter and deals down 35% from last year.