Kargo, a developer of industrial artificial intelligence solutions for supply chain and logistics, has closed a $42 million Series B funding round to support its next phase of growth.
The round was led by Avenir, with participation from Linse Capital, Hearst Ventures and Lightbank, alongside existing investors Matter Venture Partners and Sozo Ventures.
The funding will be used to accelerate Kargo’s rollout of real-time inventory data infrastructure across global warehousing and logistics operations.
Since raising its Series A in 2022, Kargo has expanded its enterprise customer base from just three clients to more than 45, including Fortune 500 companies in the food and beverage, pharmaceutical and automotive sectors such as Wayne-Sanderson, Aurobindo, Tillamook and Mercedes-Benz. The company has scaled nationwide deployments, with more than 1,000 Kargo towers now installed.
Avenir partner Jared Sleeper described Kargo as a category-defining company addressing long-standing challenges in supply chain data infrastructure. He said Kargo’s universal interpretation layer delivers value to every node in the supply chain without forcing standardisation or relying on complex custom hardware, making deployments simpler and lower risk. He added that customers consistently highlighted the measurable business value generated by the platform.
Market momentum is also supporting Kargo’s growth. According to Grand View Research, the global AI in warehousing market is projected to expand from $11.22 billion in 2024 to $45.12 billion by 2030, driven by demand for automation, real-time decision-making and solutions to labour shortages. Kargo’s annual revenue tripled between 2024 and 2025, reflecting this trend.
Founder and CEO Sam Lurye said Kargo’s rapid expansion is driven by strong network effects. Once deployed at a warehouse, customers quickly extend the solution across their supply chains as data accuracy and return on investment become immediately clear, often within weeks.
Kargo’s platform transforms loading docks into sources of precise, actionable data. Its towers, lifts and sensors automate shipping and receiving without scanning or manual processes, inspecting freight for damage, verifying shipments against bills of lading and feeding real-time inventory data directly into customer systems. Issues are flagged instantly with visual documentation to support efficient claims resolution and customer management.
The platform also integrates scheduling, driver check-in and dock door allocation into a single workflow that adapts dynamically to real-world conditions, helping teams optimise labour and operational decisions.
Looking ahead, Kargo plans to build additional applications on top of its proprietary data layer. Through advances in agentic AI, the company is launching Kargo Intelligence, a platform designed to automate back-office functions such as invoicing, claims disputes, financial reconciliation and customer service, powered by high-quality visual data captured by its camera systems.
