Atomic raises $12.5M to automate supply chains with AI

Boston-based startup Atomic has secured $12.5 million in Series A funding to develop AI-driven supply chain automation. The investment, led by Klass Capital and Madrona Venture Group, brings the company’s total funding to over $15 million.

Founded by former Tesla executives, Atomic’s software aims to replace traditional spreadsheets with an “agentic” system capable of simulating scenarios and making autonomous decisions regarding inventory levels and distribution. The technology was inspired by challenges faced during the 2018 Tesla Model 3 production ramp, where manual planning could not keep pace with rapid changes.

The company reports that its annual recurring revenue has quintupled since the start of the year. Atomic currently serves major clients such as DoorDash and HelloFresh, utilizing its platform to optimize inventory and reduce waste.