Third Wave Automation Closes $27 Million Series C Funding to Scale Autonomous Forklifts

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Oct 30, 2024, 08:00 ET

Toyota's Growth Fund, Woven Capital, Invests in Shared Autonomy Forklift Technology that Drives Significant Enhancements in Warehouse Operational Efficiency and Safety

UNION CITY, Calif., Oct. 30, 2024 /PRNewswire/ -- Third Wave Automation, provider of autonomous high-reach forklifts powered by Shared Autonomy, today closed a $27 million Series C round led by Woven Capital, Toyota's growth fund. Return investors Innovation Endeavors, Norwest Venture Partners and Qualcomm Ventures joined the round, bringing total capital raised to $97 million. The funding will enable Third Wave to scale its pioneering Shared Autonomy Platform, expand manufacturing of its multimode TWA Reach forklifts, and support future technology development that advances the use of autonomous forklifts in and around warehouse environments.

"In an industry grappling with a severely constrained labor market and intensifying market competition, Third Wave Automation's approach of blending AI-powered autonomy with human expertise is transforming warehouse operations," said Prashant Bothra, principal at Woven Capital, who is joining the Third Wave board. "Third Wave's solution provides reliable automation for vertical movement and placement of goods while optimizing labor efficiency, enhancing safety and enabling data-driven improvements. With access to Toyota's unparalleled bench of industrial automation and mobility experts, we believe Third Wave is well positioned to chart the future of intelligent material handling, unlocking unprecedented value across global logistics networks."

Bringing Shared Autonomy to Dynamic Materials Handling Environments

"The partnership between Third Wave and Woven Capital creates a strong foundation to advance our company's strategic vision, reshaping how warehouse operators perceive autonomous forklifts and the value they deliver," said Arshan Poursohi, CEO of Third Wave Automation. "Collaborating with Toyota will play a vital role in expanding access to our AI-powered solutions and industry-leading autonomous forklifts. Together, we will empower more U.S. warehouse operators to boost productivity, enhance operational flexibility, address labor challenges and improve safety—all while delivering a fast, impressive ROI."

Third Wave Automation pioneered materials handling automation with its Shared Autonomy Platform, enabling the TWA Reach line of forklifts to operate autonomously or seek help from remote operators who can take control from the safety of their office. The platform uses machine learning to ensure forklifts continue to adapt and improve over time.

The TWA Reach forklifts operate in four modes: fully autonomous, remote assist, remote operation and traditional manual operation. They are designed for high-reach applications, capable of horizontal and vertical movement of payloads, and used for end-to-end applications, from inbound, replenish and outbound tasks to all tasks in between.

The dynamic system includes the industry's most efficient mapping solution. Using automotive-grade 3D lidar, Third Wave Automation can see from the floor to the roof and across aisles, reducing the time it takes to map fixed environments from months to days. The advanced camera warehouse perception system—including Collision Shield, the industry-leading autonomous obstacle detection system running on forklifts—provides remote operators with insights into potential obstacles and how to navigate around them, as well as better views of target pick-and-place locations than manual operators.

The platform, along with its industry-leading Armada Fleet Management System (FMS), enables a single operator to manage multiple forklifts. Integrating seamlessly with other warehouse management systems, the Armada FMS allows operators to execute and monitor workflows and dynamically configure warehouse zones, dramatically improving worker efficiency and safety.

"The value of Third Wave Automation is genuinely transformative," said Brien Downie, president of 3PL firm Holman Logistics. "Their autonomous forklifts will help us streamline our processes, enable our organization to fulfill customer orders more efficiently and maintain our competitive position in the logistics marketplace. Additionally, the autonomous Third Wave forklifts will play an important role in supporting our core value of ensuring that we always provide a safe environment for our team members."

About Third Wave Automation
Third Wave Automation was founded in 2018 in Union City, Calif., to alleviate increasing supply chain stress using intelligent automation products and services. The TWA Reach is the only high-reach forklift automation solution on the market today that offers users the flexibility to deploy their fleet in four modes: fully autonomous, remote operation, remote assist, and manual operation. Third Wave Automation brings people and automated systems together to improve throughput, efficiency, and safety beyond what people or automation could achieve alone.

Leveraging machine learning and artificial intelligence to create its Shared Autonomy Platform, Third Wave Automation's Armada Fleet Management System provides the visibility and tools needed to effectively manage fleets of automated high-reach forklifts and respond to edge cases in a timely and effective manner. The Third Wave Automation solution easily integrates into existing workflows without costly infrastructure changes commonly required by traditional automation solutions. Customers immediately realize the benefits from day one. For more information, visit thirdwave.ai.

About Woven Capital
Woven Capital is Toyota's growth fund dedicated to realizing the promise of mobility — how people, goods, information and energy can move. Our global team of investors connects the world's most promising innovators with the world's most trusted automotive brand. Founded in 2021, we are investing nearly $800 million in startups that create new ways to connect cities, advance automation, harness and store energy, further electrification, and make our vehicles smarter. Learn more at woven.vc.

SOURCE Third Wave Automation