Kargo, an industrial artificial intelligence company focused on supply chain and logistics, has raised a $42 million Series B funding round as it looks to scale deployments of its warehouse and loading dock technology with large enterprise customers.
The round was led by Avenir, with participation from Linse Capital, Hearst Ventures, and Lightbank, as well as returning investors Matter Venture Partners and Sozo Ventures. Kargo said the new capital will be used to accelerate its push to build a real-time inventory data infrastructure across its global warehousing and logistics operations.
Kargo said it has expanded its enterprise customer base significantly since its Series A in 2022, growing from three customers to more than 45, and is working with Fortune 500 companies across food and beverage, pharmaceuticals, and automotive. The company cited customers including Wayne Sanderson, Aurobindo, Tillamook, and Mercedes-Benz. And it said it has deployed more than 1,000 of its towers as part of broader rollouts across the United States.
The company’s pitch centers on turning the loading dock into a reliable source of operational data. Kargo combines physical towers and lifts installed at docks and gateways with sensors that feed its software platform, aiming to automate shipping and receiving workflows without scanning, manual intervention, or change management. Kargo said its system inspects arriving freight for damage, verifies shipments against bills of lading, and pushes inventory data into customer systems for real-time status visibility and compliance. When issues occur, the platform flags them immediately and documents them with visual evidence intended to support faster resolution of freight claims and smoother customer interactions.
Beyond verification and inspection, Kargo said its platform consolidates scheduling, driver check-in, and dock door allocation into a single workflow that adapts to real-world conditions such as inclement weather, enabling teams to make decisions about labor allocation, overages, shortages, and damages, drivers, and operational practices based on current dock activity and captured data.
Kargo also pointed to broader market momentum for automation and AI in warehouse operations. Citing Grand View Research, the company said the global AI in warehousing market is expected to expand rapidly through 2030 as operators pursue faster automation, greater accuracy, and real-time decision-making to address rising demand and labor constraints. Kargo said its own annual revenue tripled from 2024 to 2025.
With the new financing, Kargo said it plans to layer additional applications on top of its proprietary data foundation. The company is rolling out Kargo Intelligence, which it described as a move toward automating back office workflows such as invoicing, claims disputes, financial reconciliation, and customer service, supported by imagery captured by its camera systems and advances in agentic AI.
KEY QUOTES:
“Kargo is a category-defining company. Supply chain data infrastructure has been massively challenging to solve for decades. We have seen many technology paradigms come and go, but Kargo’s unique ability to provide individual value to every node in the chain is the winning formula. Instead of trying to force everyone onto the same standard or relying on heavily custom hardware solutions, they are introducing a universal interpretation layer that benefits every supply chain player while de-risking and simplifying deployments. Every stakeholder we spoke with in our diligence process reiterated the measurable value Kargo has added to their business. The enthusiasm and appreciation for the solution was universal, and Kargo is exactly the type of defensible, deeply integrated AI-powered solution that we get excited to invest in and support.”
Jared Sleeper, Avenir
“The dramatic growth we’ve experienced reflects the powerful network effect of the Kargo solution. Once Kargo sensors are deployed in a warehouse, customers want Kargo upstream and downstream in their supply chain. We typically see additional orders by the same customers within three months because the data accuracy is recognized immediately and the ROI is often realized in weeks. We’re a trusted partner fully embedded in their infrastructures.”
Sam Lurye, Founder And CEO, Kargo
