TLDR:
- Investments in supply chain firms and technologies represent 15-20% of total venture capital investments.
- More than 150 supply chain startups have been acquired in the last two years.
The article discusses the significant portion of venture capital investments that are directed towards supply chain firms and technologies. According to a report by Kearney, investments in this sector make up a substantial chunk of total VC investments, with big players like Amazon, Maersk, UPS, and Walmart making major acquisitions in recent years.
Supply chain technology vendors and technology-based third-party logistics firms received a total of $15.4 billion in VC investments in 2024. Companies are investing in breakthrough innovation to improve their services, leading to bigger average ROI as more investments are made.
Key investments were seen in delivery services such as Picnic Technology, Flexport, Skydio, and Shadowfax. Additionally, verticalized supply chain solutions, warehouse automation and robotics, supply chain digitization and AI, and supply chain sustainability solutions have also seen significant investments.
Major acquisitions have been made by companies like Siemens, Bentley Systems, and BlueYonder to support their supply chain operations. The Kearney report is based on an examination of deals and insights from senior operations leaders of large companies regarding the acquisitions critical for securing their supply chain futures.
