# Third Wave Automation

Startup profile on Capital Atlas: https://capitalatlas.ai/startups/third-wave-automation

- Industry: Software
- Headquarters: Union City, US
- Website: www.thirdwave.ai
- Total disclosed funding: $86M
- Latest round: Series C (Oct 30, 2024)
- Investors on record: 8

## About

Third Wave Automation Inc. develops innovative autonomous material handling solutions, enhancing warehouse efficiency with advanced robotics technology and fleet management systems.Founded in 2018 and headquartered in Union City, US, Third Wave Automation specializes in autonomous solutions for material handling. The company was established by Arshan Poursohi, James Davidson, and Julian Mason. As of October 2024, Third Wave successfully raised USD 27.00 mn in Series C funding led by Woven Capital Management Company, with participation from returning investors such as Qualcomm Ventures, Norwest Venture Partners, and Innovation Endeavors, bringing the total amount raised to USD 27.00 mn and a current valuation of USD 169.73 mn.Third Wave Automation specializes in autonomous material handling solutions, primarily through its flagship products, the TWA Reach forklifts and the Armada Fleet Management System (ArmadaFMS). The TWA Reach forklifts operate under a hybrid model of shared autonomy, allowing them to function independently while being overseen by human operators who can assist when needed. This system is designed to optimize warehouse operations by enabling one operator to manage up to ten autonomous forklifts simultaneously. The company’s technology addresses significant labor shortages in the logistics industry, particularly in the U.S., where over 31,000 forklift operator roles remain unfilled. Third Wave's offerings are adaptable and scalable, allowing clients to easily reconfigure their warehouse setups without incurring excessive costs, and they are marketed primarily to businesses in the United States and Canada.Third Wave Automation generates revenue through a Robots-as-a-Service (RaaS) model, which allows clients to subscribe for a fixed monthly fee to access the TWA Reach forklifts and the ArmadaFMS. This model reduces capital expenditure (CapEx) and total cost of ownership (TCO) challenges associated with purchasing robotics outright. The subscription-based service supports a steady revenue stream from B2B transactions, emphasizing immediate return on investment (ROI) for clients, which results in cost reductions and productivity enhancements.In October 2024, Third Wave Automation Inc. raised USD 27 mn in Series C funding to enhance its manufacturing process for TWA Reach forklifts, advance its innovative Shared Autonomy Platform, and develop future forklift technologies. The company plans to introduce new products designed to further streamline warehouse operations and expand its market presence in North America by targeting logistics and distribution firms looking to innovate their operations.

## Funding rounds

- Series C, Oct 30, 2024, $27M — Norwest Venture Partners, Qualcomm Ventures, Innovation Endeavors, Woven Capital Management Company
- Series B, Aug 4, 2021, $40M — Norwest Venture Partners, Innovation Endeavors, Eclipse Ventures, Toyota Ventures
- Series A, Jun 21, 2020, $15M — Innovation Endeavors, Homebrew, Eclipse Ventures, Toyota Ventures, Heartland Ventures
- Seed, Jul 24, 2018, $4M — Eclipse Ventures

## Investors

- Eclipse Ventures (https://capitalatlas.ai/funds/eclipse-ventures) — Seed, Series A, Series B
- Innovation Endeavors (https://capitalatlas.ai/funds/innovation-endeavors) — Series A, Series B, Series C
- Homebrew (https://capitalatlas.ai/funds/homebrew) — Series A
- Toyota Ventures (https://capitalatlas.ai/funds/toyota-ventures) — Series A, Series B
- Heartland Ventures (https://capitalatlas.ai/funds/heartland-ventures) — Series A
- Norwest Venture Partners (https://capitalatlas.ai/funds/norwest-venture-partners) — Series B, Series C
- Qualcomm Ventures (https://capitalatlas.ai/funds/qualcomm-ventures) — Series C
- Woven Capital Management Company (https://capitalatlas.ai/funds/woven-capital-management-company) — Series C