Magentic, an AI Agent Platform that hunts and delivers savings in manufacturing supply chains, announced a $5.5 million funding round led by Sequoia Capital. The raise, including participation from The Westly Group, First Momentum Ventures, and angel investors from SAP, Airbus, McKinsey & Company, Hugging Face, Ironclad, and Rosberg Ventures, will boost growth.
Magentic deploys AI teammates for procurement and supply chain operations, targeting hard savings even in unstructured environments with incomplete data. For example, a $30 billion manufacturer saved 4% on machinery spare parts and is expanding AI deployment.
Founded by Robin Van Aeken, from McKinsey, and Odhran O’Donoghue, a PhD from Oxford and former AI lead at OpenAI, NASA, and the Crick Institute, Magentic combines AI engineering with procurement expertise.
Its clients across consumer goods, pharma, and manufacturing sectors in the US and Europe use AI to find savings, defend against tariff claims, and operate with human oversight. One partner identified errors in 1 in 4 procurement documents. Magentic aims to automate operations while maintaining human strategic input.
KEY QUOTES:
“Supply chains are the hidden engines of our world, responsible for every phone, medicine, and plane in our lives. Procurement teams are at breaking point, spending hours navigating unstructured information, ever more complex demands, and now global conflict and tariffs.”
Robin Van Aeken, Magentic’s co-founder and CEO
“For the first time, we have the technology to understand all our data across previously incompatible systems. At Magentic, we’re motivated by the question: how can complex companies deploy trustworthy, reliable systems capable of following company playbooks to improve outcomes for their suppliers and their customers.”
Odhran O’Donoghue, Magentic co-founder and CTO
“Today, the best AI companies are selling outcomes not seats. In the old world, SaaS sold the promise of ROI. In the new world, AI actually delivers it. That’s why we’re proud to partner with Robin, Odhran, and the team at Magentic – their AI ‘Mages’ work seamlessly alongside procurement and supply chain teams to drive immediate P&L gains and we can’t wait to see the impact they deliver as they continue to build.”
Sequoia Capital Partner Julien Bek
