Boon secures $20.5M to enhance AI tools for logistics

AI-powered logistics startup Boon has raised $20.5 million to revolutionise fleet and logistics operations. The funding, led by Marathon and Redpoint, includes $15.5 million from a Series A round and a previously undisclosed $5 million seed investment. The platform aims to streamline operations and improve efficiency by unifying data from diverse applications.

Boon targets inefficiencies in the logistics industry, particularly among small and medium-sized enterprises managing over 60 million fleet vehicles globally. Current tools, often fragmented across 15 to 20 applications, create administrative burdens. Boon’s AI agent addresses these challenges by automating processes, optimising workflows, and providing actionable insights.

Founder Deepti Yenireddy drew on her experience at fleet operations giant Samsara to design Boon. She assembled a team of experts from Apple, DoorDash, Google, and other leading firms to develop the platform. Boon plans to use the funding to expand its offerings, covering areas like container loading and staffing optimisation.

Early results have been promising. With paying customers representing 35,000 drivers and 10,000 vehicles, Boon reached an annual revenue run rate of $1 million within nine months. The company is hiring to accelerate growth and broaden its impact on the logistics sector.