PitchBook News - Competition fierce in supply chain tech

Also: Carbon tech startups capture VC interest; US PE middle market dealmaking holds steady, fundraising slows; Sneak peek of our new agtech research.
Read online | Don't want to receive these emails? Manage your subscription.
Log in
The Research Pitch
September 17, 2022
Sneak peek! We'll give our latest agtech research a wide release on Monday, but you can access a preview of the premium report here.

Trending: Did you know we launched dedicated analyst coverage of carbon & emissions tech last week? Get a preview of our debut report here.

Update: Translations of our Greater China Venture Report are now available in simplified Chinese and traditional Chinese here.
As supply chains get more complex, opportunities abound for tech
Recently supply chains have grabbed the spotlight as volatility in global manufacturing and trade led to scarcity on retailers' shelves, stretched delivery times, stymied production schedules, and crimped profitability.

As consumer spending patterns shifted back to emphasize services, warehouses and delivery centers swelled with unsold goods.
Suddenly, instead of maximizing efficiency, building resiliency has emerged as the key concern.

In the shift from just-in-time to just-in-case, emerging technology can play a key role, helping to enhance visibility, manage supplier diversity, and improve decision-making. Automation technologies are key to resolving bottlenecks and hastening the flow of goods.
Click to access a larger version in our report preview.

Developed and developing economies alike are facing labor shortages at critical nodes along supply chains.

The American trucking industry will need tens of thousands of new drivers to meet shipping demand in the coming years.

Amazon, the nation's second-largest employer has struggled to flex and adjust its warehousing and fulfillment workforce to meet the volatility of demand for ecommerce.

Port operations are struggling. The vast majority of globally traded goods flow through maritime transportation.

A recent World Bank study ranked Los Angeles and Long Beach, California—the largest ports in the US—last in efficiency globally in 2021.

Labor contracts for US West Coast ports recently expired and negotiations are underway, but a key sticking point is the role of automation.

Going forward, emerging technologies look set to exploit numerous opportunities as complexity in global supply chains increases.

Worldwide spending on logistics was $9 trillion, or 11%, of global GDP in 2020. Manufacturers are increasingly looking to build resiliency, multi-source parts and materials, regionalize supply chains, and broaden their supplier base.

Competition is fierce. Winners in supply chain tech will develop and deploy solutions that manage down costs and enhance and speed decision-making.

Our new supply chain tech research delves into the recent volatile VC investment flows in the vertical, looks at emerging opportunities (such as supply chain visibility platforms and drone airspace management and infrastructure), and highlights startups FourKites, project44, and Near Earth Autonomy.

Download a preview of our Q2 Supply Chain Tech Report.

Clients can log in to read the premium report here.

We welcome any questions or comments.

Jonathan Geurkink
Analyst, Emerging Technology
Share: Email LinkedIn Twitter Facebook
Market Updates  
PE deal activity in the US middle market totaled $228.2 billion in H1—a sharp drop from 2021's record pace but still on track for a healthy year.

Firms have abundant dry powder, and large GPs averse to massive bets in the current environment have eagerly turned to smaller opportunities.

Yet the middle market's size advantage in the dealmaking space proves a hindrance when it comes to fundraising, according to our Q2 US PE Middle Market Report. Among the takeaways:
  • The crowded fundraising landscape is expected to have its biggest negative effect on the middle market, as LPs pushed near their allocation limits have prioritized relationships with larger, more-established fund managers.

  • Exit activity fell for the second consecutive quarter, with the cumulative value of $35.6 billion falling below the average quarterly value for the five years pre-pandemic.

  • Deal sizes have trended downward, with middle-market deals over $500 million making up their lowest share of count and value in at least a decade.
get the free report
Thematic Research  

Postcombustion Carbon Removal

Q2 was the best quarter ever for VC investment in carbon capture startups, with $882 million invested across 11 deals.

So, why is this flow of venture money increasing?

Our latest research examines the various technologies for carbon removal and drivers of interest in postcombustion carbon capture, including its varied approaches.

The note also includes a closer look at VC-backed companies in the space, such as Climeworks, Mission Zero and Travertine:
read the free research
Webinars & Events  
Our head of private markets research and lead EMEA analyst hosted a live discussion this week on the key trends across Europe's private capital markets.

How has PE & VC dealmaking been pacing?

How have our 2022 predictions held up?

For all the updates on Europe-based deals, exits and fundraising activity, watch the recording.
In the News  
Our insights and data featured in the press:
  • The key to the successful companies of the future lies in innovation: "It's about focusing on something unique, rather than something that's there to just grow, and add to a broader landscape." [FT]

  • While there are a growing number of carbon capture companies that are attractive to VCs, regulations and policies are also lining up to make them a particularly enticing investment. [Protocol]

  • "The IPO wave of 2021 came and went without significant outcomes for horizontal AI startups, leaving questions as to the market size for AI software and opportunities for AI chip companies." [TechCrunch+]

  • Debt remains a small slice of total venture funding, but its share of the market is increasing. [Bloomberg]
If you're a journalist interested in interviewing our analysts or requesting data, contact our PR team.
Highlights from our other recent research:

Market updates
Thematic research
Emerging Technology Research
Coming next week (subject to change)
  • Analyzing the impact of VC down rounds
  • ETR: Agtech

Thanks for reading! Feel free to email us any time with feedback, questions, or tips!

Learn more about the PitchBook Institutional Research Group, meet our analysts, or access our research libraries for clients and non-clients.

Were you forwarded this newsletter? Sign up at pitchbook.com/subscribe.
Since yesterday, the PitchBook Platform added:
VC valuations
See what our data software can do
About PitchBook | Terms of use | Advertise with us | Contact
Follow us: in twtr fb

This email was sent to you via the PitchBook Platform.

Do you want to change your email address, get a different edition or unsubscribe? Manage your subscription here.

© 2022 PitchBook. Win what's next. All rights reserved.

Key phrases

Older messages

How VCs boost carbon capture

Friday, September 16, 2022

Adobe to pay record $20B for Figma; Galvanize Therapeutics grabs $100M; Fortanix secures $90M; Shyft delivers $16M Read online | Don't want to receive these emails? Manage your subscription. Log in

VC, PE and a healthcare disruption

Thursday, September 15, 2022

US PE middle market a mixed bag; PE's growing bet on vets; Prime Movers Lab raises $500M fund; Morpheus Space lands $28M Read online | Don't want to receive these emails? Manage your

China's VC dealmaking extends slowdown

Thursday, September 15, 2022

Israeli cultivated meat startups draw interest; ffVC launches Ukraine-focused fund; Shipping analytics startup scores $80M; Zesty nabs $75M Series B Read online | Don't want to receive these emails

The price of being a serial entrepreneur

Tuesday, September 13, 2022

Female founders extend fundraising slowdown; Bolt Financial drops $1.5B crypto deal; Gotham Greens brings in $310M; Pretzel Therapeutics grabs $72M+ Read online | Don't want to receive these emails

Supply chain tech keeps some VC interest

Monday, September 12, 2022

Follow the money in the metaverse; Gravitee.io nabs $30M; MetaWeb Ventures raises $30M blockchain fund; maternity care clinic raises $4M Read online | Don't want to receive these emails? Manage

📣 End-Game Marketing Idea: Create Your Own Social Media Network

Friday, October 7, 2022

If you're done marketing on social media, why not create your own? ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

Your Exclusive Subscriber-Only Article Is Available Now

Friday, October 7, 2022

EXCLUSIVE SUBSCRIBER-ONLY ARTICLE LINDSAY BLAKELY Managing Editor, Inc.com It might be easy to assume that entrepreneurs with successful track records and celebrities with plenty of name recognition

Oct. 7 - Will Adidas drop Yeezy? | Stitch Fix ends inclusive apparel line

Friday, October 7, 2022

Adidas says its Yeezy partnership is 'under review'; Stitch Fix to close factory, cease production of sustainable, size-inclusive private label; Amazon ends field tests for delivery bot Scout;

E-A-T 'Growth Hacking' to 4 Million Organic Visitors

Friday, October 7, 2022

How this young pet site grew to 4 million organic monthly visitors, a special Black Friday content deal, how to rollback WordPress/WP plugins, and more... Today's Email is Sponsored by: ​ On Monday

Oct. 7 - McDonald’s adult Happy Meals burden staff | Jersey Mike’s recruits Danny DeVito

Friday, October 7, 2022

Campaign Trail: Jersey Mike's Subs serves up authenticity with Danny DeVito; Instagram follows TikTok with enhanced ad formats and tools; Lucky Charms joins mobile gaming craze with AR gem hunt;

Are down rounds really company killers?

Friday, October 7, 2022

Turbulence buffets AI, machine learning; charting private debt fundraising trends; Tiger Global targets $6B fund; Gather AI grabs $10M Read online | Don't want to receive these emails? Manage your

Growing your influence with TikTok...

Friday, October 7, 2022

It's the first Friday of October, Reader... 👻 🕸️ 🎃 Get your spooky on! This newsletter is brought to you by the Social Media Marketing Society. In this edition: We're also covering why you

Step into the future of ecommerce with crypto and more.

Friday, October 7, 2022

Take your business to the next level with the latest consumer shopping trends. To view this email as a web page, click here BigCommerce Blog Newsletter Listen Now Global Consumer Current and Future

The Path To Greater Institutional Adoption

Friday, October 7, 2022

To investors, There are a lot of announcements and hype around institutions entering the bitcoin and crypto industry. The truth is that most of these announcements haven't actually led to much

Weekly Dose of Optimism #15

Friday, October 7, 2022

Democratizing AI, Nobel Prizes, Eradicating Malaria, Ice Bucket Challenge, and Green Hydrogen ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌