Our Investment in Tive
By: Jason Black
Tags: Series A, Internet of Things, Venture Capital, Supply Chain

Check out more on their website here.

Consumers have grown to expect more from their shipments. Packages now get shipped out same-day, can be tracked in real-time, and arrive on time and (largely) without damage. The same can’t be said for the $20T worth of shipments made in the global supply chain, however. But shippers are starting to expect more.

Over $3.6T worth of those goods are either time-sensitive or are sensitive to temperature changes, shock, light exposure, humidity, pressure, or orientation. Hundreds of billions of dollars worth of goods are either outright lost or damaged beyond repair during shipments. While this is a blow to the bottom line of the businesses who receive the damaged goods, this is an even greater blow to the relationship between the business and their shipping partners. Nobody wins.

At RRE, we have been scouring this space for years to find the right solution. Most players historically have been focused on telematics — sensors attached to and powered by the vehicle or container which don’t provide pallet-level tracking. We call this Visibility 1.0. These players typically only provide the software, choosing to partner with third parties for low-cost hardware. While this obviously helps with gross margin, customers can find themselves wrangling inconsistent third-party data and left with little recourse if there are issues with the hardware.

“People who are really serious about software should make their own hardware.” — Alan Kay

In order to deliver a truly exceptional, modern tracking experience — “Visibility 2.0” if you will — we were looking for a company that was building a holistic solution that allowed them to integrate hardware and software in a way that their competitors wouldn’t be able to easily replicate. During our early exploration of this space, we had the good fortune to meet Krenar Komoni nearly four years ago. With a Masters in Electrical Engineering from Tufts, a strong command of low-powered electronics and antennas, and a father-in-law who was struggling to get real-time visibility into the position and condition of his trucking business, Krenar started building his own trackers. As the size and complexity of the problem, so too did his determination to build the cheapest, most robust, reliable, and accurate trackers on the market.

Tive’s early focus on hardware — particularly in battery management — has enabled them to pack more sensors on a single-use tracker ($40 per device) than any other available today. In addition, their rapid hardware development has allowed them to bring to market another industry first — a nickel-hydride battery that dramatically increases both safety and the regulatory overhead for air freight shipments (lithium batteries require extra paperwork and increase cost).

With their suite of trackers, shippers can now get real-time visibility into their goods — location, temperature, humidity, shock, light — around the globe. While this is impressive in and of itself, the impact is that their users can now actually intervene mid-shipment if, for example, the temperature of an 18-wheeler truck is out of band. The truck can be rerouted to a nearby mechanic that can repair what may be a faulty refrigeration unit.

Taken together, Tive offers the highest quality end-to-end visibility in a massive industry sorely lacking in its ability to effectively track high-value shipments. And it shows — the company posted over 600% growth in ARR this year with plenty of run room still to expand within its existing customer base.

We’re extremely proud and excited to be partnering with Krenar and the entire Tive team as they build a category-defining company in the smart tracking industry.