ArcBest announced Wednesday a $25 million investment in Phantom Auto, a software company providing remote operation of a variety of vehicle types, including forklifts, robots and trucks.
In addition to leading Phantom Auto’s series B funding round, ArcBest will get a seat on its board, which will be filled by Michael Newcity, ArcBest’s chief innovation officer and head of ArcBest Technologies.
Phantom Auto has raised $64 million in funding since its 2017 launch, according to PitchBook.
The company’s proprietary software allows workers to operate equipment remotely using low-latency communication and sensor streaming, providing safe vehicle control.
“Phantom Auto strategically aligns with our long-term goals, complementing ArcBest’s existing innovation pipeline, technology road map and partnerships, and building on the important work already underway to support our customers’ success,” said Judy McReynolds, chairman, president and CEO at ArcBest. “This investment reflects our vision of great people leveraging smart technology to strengthen performance and relationships to benefit all of our stakeholders, including our shareholders.”
ArcBest (NASDAQ: ARCB) spends roughly 4% of annual revenue on tech investments, which are overseen by ArcBest Technologies. Almost half of the tech spend is “dedicated exclusively to growth and transformative initiatives like those developed at Phantom Auto.”
“We continuously analyze emerging technologies and collaborate with partners to develop modern logistics solutions,” Newcity added. “Phantom Auto is solving fundamental challenges facing the supply chain industry, and this investment aligns perfectly with our commitment to advancing a culture of innovation and enabling a more efficient and sustainable supply chain.”
The FREIGHTWAVES TOP 500 For-Hire Carriers list includes ArcBest (No. 26).
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The FREIGHTWAVES TOP 500 For-Hire Carriers list includes J.B. Hunt (No. 4) and ArcBest (No. 26).