Noida-based FarEye, a digital software provider for e-commerce and logistics businesses, today announced the acquisition of freight logistics startup Dipper. The deal amount, however, wasn't disclosed.
Noida-based FarEye, a digital software provider for e-commerce and logistics businesses, today announced the acquisition of freight logistics startup Dipper. The deal amount, however, wasn’t disclosed. The acquisition would help FarEye with Dipper’s (which helps connect truckers and load owners with each other) predictive technology platform to provide real-time visibility of freight movement, FarEye said in a statement. Dipper uses machine learning for live tracking in long-haul and multi-modal logistics.
“Shippers are losing a lot of time, money and inventory due to unpredicted freight movement. India spends about $160 billion on road logistics,” said Kushal Nahata, Co-founder and Chief Executive Officer, FarEye.
Founded in 2015 by Kushal, Gautam Kumar, and Gaurav Srivastava, Fareye has raised $13.3 million in four investment rounds so far, as per deal activity tracker Crunchbase.
Dipper uses a mix of IoT devices, SIM cards, smartphones etc, to gather the location data, which it will now feed into FarEye’s machine learning platform, the statement said. This would help predict estimated time of arrival in long-haul movements by learning the delays at tolls and terrains. The startup raised angel funding in June 2016.
FarEye would continue to expand in the Middle East, South East, and Europe apart from India.
2018 saw multiple deals in logistics space including last month’s end-to-end delivery service Routier’s 67% stake acquisition by insurance software development company Ebix. In July, Tata Motors picked 26% stake in freight aggregation service TruckEasy. Also, Mahindra Logistics acquired transport management solution platform ShipX.
FarEye offers last mile delivery technology solutions to over 100 business globally including Walmart, Amway, DHL, and Future Group across steel, manufacturing, automobile, and other industries.
Other major logistics technology startups Rivigo (valued over $900 million) and Delhivery, are expected to soon become unicorns. E-commerce logistics startup Delhivery is reportedly in talks to raise their next round of funding to cross $1 billion valuation mark.
Indian logistics industry is expected to hit $215 billion-mark by the fiscal year 2020 from $160 billion in 2017, as per a report by Care Ratings published in October this year.