Atomic, a Boston supply chain startup staffed by Tesla alumni, has raised $12.5M in Series A funding led by Klass Capital and Madrona Venture Group, taking its total past $15M.
The company sells software that decides how much inventory a business should hold and where, simulating scenarios and then either recommending a move or making the call outright.
The idea dates to Tesla’s 2018 Model 3 production crunch, when planning spreadsheets could not keep pace with how fast schedules changed. Chief executive Michael Rossiter and chief product officer Neal Suidan built an early version of the system inside the automaker, then incubated the company at DVx Ventures, the firm run by former Tesla president Jon McNeill.
Customers include DoorDash and HelloFresh. McNeill says DoorDash now runs about 90% of purchasing across hundreds of sites through the platform, and that the product has evolved from a recommendation engine into one that executes decisions. Annual recurring revenue has quintupled since January.
Atomic also hired longtime Tesla planning director Jeff Goodrich as chief technology officer and third co-founder.
The company is pushing into consumer packaged goods, mobility and manufacturing, betting that a general model of supply chains travels better than tools written for a single industry.
