San Francisco-based Industrial AI company Kargo has raised $18.4 million to supercharge its mission of reshaping supply chain efficiency by augmenting computer vision, freight verification, and inventory management across warehouse operations.

Matter Venture Partners led the funding, and the round also drew backing from existing investors Sozo Ventures, Founders Fund, and new strategic players, including Lineage and Armada Supply Chain Solutions. Kargo’s momentum signals a bold leap in computer vision-driven automation for warehouse operations and freight verification.

“This capital investment will enable Kargo to develop new products that connect supply chain data and rapidly expand our customer base,” said Sam Lurye, founder and CEO of Kargo.

“Comprehensive, proprietary data is the key to unlocking the full potential of AI. Kargo has become the trusted provider of inventory data to leading global supply chains. AI plays a critical role in supply chain integrity, and we’re helping customers across industries build their AI stack to connect their warehouses, back offices and customers,” added Sam Lurye

A Vision for a Smarter Supply Chain

At its core, Kargo develops advanced industrial AI systems that utilize computer vision to interpret real-world freight data, seamlessly connecting it to digital logistics systems. Its goal is to reduce errors, enhance visibility, and make inventory management smarter.

Meanwhile, by leveraging AI-powered cameras and deep learning models, Kargo identifies and analyzes the contents and condition of every pallet, thereby boosting efficiency across the supply chain. The freight verification process, which once relied on manual checks and paper logs, now occurs in real-time thanks to Kargo’s cutting-edge platforms, namely Kargo Towers and Kargo Lifts.

In just a year, Kargo achieved 7x year-over-year growth, now serving over 25 enterprise customers. These include industry giants such as Tyson, Tillamook, Utz, and DB Schenker, all of whom utilize Kargo’s industrial AI for mission-critical warehouse operations.

The system handles more than 20,000 pallets per day, with 2 million scans every week, ensuring freight verification at scale. This real-time inventory management capability has allowed Kargo to process approximately $200 million worth of inventory daily, a benchmark few startups can claim.

AI You Can Deploy in Days with Kargo

Speed and simplicity define Kargo’s deployment model. Companies can go live in just 47 days, with zero changes to existing processes. Thanks to self-contained Kargo Towers and the mobile Kargo Lift, designed for use with forklifts and AGVs, teams integrate AI without relying on legacy infrastructure. These tools streamline warehouse operations, detect anomalies such as damage or miscounts, and trigger instant alerts via the platform’s language model.

Recently, Armada Supply Chain Solutions installed Kargo’s computer vision tech at 240 dock doors nationwide, proving the platform’s scalability. Such wins highlight how industrial AI can enhance performance while minimizing operational friction.

Rick Rover, President of Armada’s warehouse division, said, “Kargo played a critical role in our ability to implement AI in a meaningful way successfully. We were live in under a month, significantly enhancing our inventory management. Our clients – predominantly large, multi-unit restaurant companies – benefited almost immediately from increased accuracy and traceability.”

High Retention Reflects Real Value

Kargo’s customer satisfaction metric is extraordinary. With a 215 percent Net Revenue Retention (NRR) rate, clients don’t just renew, and they double down. They rapidly scale deployments, illustrating how actionable supply chain data, powered by computer vision and real-time freight verification, drives tangible returns.

With its latest $18.4 million infusion, Kargo plans to broaden its industrial AI capabilities and expand its AI footprint across logistics networks. The team, led by founder and CEO Sam Lurye, envisions a world where intelligent systems deliver complete transparency across every point of the supply chain.

As global logistics grapple with increasing complexity, Kargo’s fusion of computer vision, automation, and smart hardware paves the way forward. It’s not just about machines doing more; it’s about more innovative inventory management, faster freight verification, and more agile warehouse operations.

“Kargo is redefining how supply chains operate by making freight data visible, reliable, and actionable at scale,” said Haomiao Huang, Founding Partner at Matter Venture Partners. “Their rapid customer adoption, real-world impact, and deep technical moat make them a category-defining company in logistics AI.”

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