Supply Chain Tech Accelerator Launches
When you think of tech startups, you may not immediately think of startups that focus on logistics-related technologies. But, they are about to get a big boost thanks to a $3 million Dynamo accelerator program that is being set up by a group of logistics entrepreneurs out of a $12 million logistics venture fund. The startups will be involved in technological development for drones, autonomous truck operations, and software. They will take part in a three-month program that will allow them to test their ideas with Chattanooga businesses.
The investors behind Dynamo are hoping to draw tech experts to the industrial side of distribution, an area that they have not traditionally been drawn to. One of the program’s founders, Ted Alling, said that programmers tend to seek jobs at places like Facebook and Amazon. He is hoping that this program will change this trend by attracting programmers who want to fix companies’ problems while making some money.
It might not sound too glamorous, but the demand in this area is certainly growing. In fact, tech investors have been increasingly drawn to logistics recently, with the founders of big tech firms like eBay and Amazon investing in freight-booking website Convoy.
The Dynamo accelerator program will also entail an investor showcase with angel investor Gary Vaynerchuk, and a few standouts will receive further investment from the fund.
Chattanooga: An Attractive Place For Manufacturers
Chattanooga is conveniently located near distribution hubs for UPS and FedEx, and its manufacturing base is currently booming. It is also home to a number of automobile components manufacturers and a Volkswagen AG factory.
This good news for Chattanooga comes on the heels of a recent announcement by FedEx that it is planning a $30 million second distribution center in the city. FedEx will also sponsor a logistics accelerator in Memphis to support robotics and fleet-related technology.