Locus Raises $50 Million to Revolutionize Logistics Management

Locus Secures $50 Million to Enhance AI-Powered Logistics Solutions

Locus, a company specializing in artificial intelligence for logistics optimization, announced on Wednesday a successful $50 million funding round. This new capital injection will be utilized to broaden the company’s market reach and further develop its technological capabilities.

Series C Funding Details

The Series C funding round was spearheaded by GIC, the sovereign wealth fund of Singapore. Participation also came from Qualcomm Ventures, alongside existing investors including Tiger Global Management and Falcon Edge. This brings the total funding raised by Locus to $79 million.

According to sources familiar with the matter, the latest funding round has valued the India-founded startup at approximately $300 million.

Investor Participation

Notable angel investors also contributed to this round, including Amrish Rau, CEO of Pine Labs; Kunal Shah, CEO of CRED; Raju Reddy, founder of Sierra Atlantic; and Deb Deep Sengupta, former President and MD of SAP in South Asia.

Automating Logistics with Artificial Intelligence

Locus provides solutions that automate key logistics processes for its clients. These include planning, organization, transportation, inventory tracking, and route optimization – tasks traditionally reliant on significant manual effort, as explained by Nishith Rastogi, CEO of Locus, in a recent interview.

Rastogi illustrated this with examples, stating, “Companies like Licious or BigBasket must determine daily vehicle requirements and sizes at their distribution centers.” He further elaborated that assigning drivers based on local knowledge and accounting for traffic conditions are also critical considerations.

Beyond Visibility: Data-Driven Decision Making

“We empower our clients to move beyond simply tracking shipments and into informed decision-making,” Rastogi stated. The company achieves this through the application of proprietary algorithms and advanced machine learning techniques.

Global Impact and Cost Savings

Currently operating across North America, Southeast Asia, Europe, and the Indian subcontinent, Locus reports that its solutions have enabled customers to save over $150 million in logistics expenses. Furthermore, the platform has reduced overall travel distances by tens of millions of kilometers.

Revenue Focus and Target Industries

The majority of Locus’s revenue is currently generated from international markets, with North America being a particularly strong performer. The platform is proving especially valuable to businesses in the FMCG, retail, and e-commerce sectors, as well as companies utilizing distribution partnerships.

Locus concentrates on sectors where logistics costs represent a substantial portion of the cost of goods sold and where profit margins are often narrow. “Logistics expenses can account for as much as 40% of the price of a product for many distribution and e-commerce businesses,” Rastogi noted. “This creates a strong incentive for our clients to implement improvements.”

Qualcomm Ventures’ Perspective

Varsha Tagare, Senior Director at Qualcomm Technologies and Managing Director at Qualcomm Ventures, commented, “Locus’ intelligent product suite is enhancing supply chain efficiency through machine learning, providing real-time tracking and valuable insights for last-mile delivery.” She added, “We are pleased to invest in Locus to facilitate logistics as a service and support their progress towards becoming a leader in global last-mile automation.”

Future Growth and Investment

Rastogi described the new funding as a strategic reserve, emphasizing that the company is already cash-flow positive. However, he indicated that the additional capital will be instrumental in expanding into new markets and strengthening the company’s technology team.