Startup Secures $5M to Revolutionize Ocean Freight with AI Automation

New York-based startup Ship Angel has successfully secured $5 million in a recent venture funding round aimed at revolutionizing data utilization in the ocean freight industry. Established in 2023, Ship Angel presents an AI-powered software platform that automates freight shipping processes, significantly enhancing workflow efficiency for beneficial cargo owners (BCOs). The funding round was led by Glasswing Ventures and Newark Venture Partners, with contributions from Bienville Capital, Socii Capital, and Plug and Play.

Graham Parker, co-founder and CEO of Ship Angel, emphasized the need for modern logistics technology in a sector that often remains underserved. “BCOs represent one of the most neglected segments in global shipping when it comes to high-quality, contemporary logistics tools,” he stated. “The shipping industry is at a crucial juncture where the complexity, unpredictability, and escalating costs have reached levels that traditional methods, such as spreadsheets, can no longer effectively manage. Ship Angel confronts these challenges directly with innovative, AI-native software as a service solutions that provide considerable improvements in efficiency, supply chain performance, and data accuracy.”

This substantial funding will facilitate the expansion of Ship Angel's platform. In conjunction with this announcement, the company has introduced two new AI-driven features: Contract Amendment Guard and Invoice Audit. The Contract Amendment Guard feature automatically tracks changes to surcharges and transit times, while the Invoice Audit tool records bookings and identifies discrepancies, thereby reducing the administrative burden on shipping companies.

In an environment characterized by volatility, BCOs are notably facing a staggering 30% error rate in invoicing, leading to losses amounting to millions of dollars. Ship Angel’s advancements aim to transform rate management operations that traditionally rely on manual data adjustments.

“Ship Angel’s cutting-edge, AI-native software, combined with industry knowledge and an unwavering commitment to user experience, will redefine standards within the global digital shipping landscape,” commented Rudina Seseri, founder and managing partner at Glasswing Ventures. She highlighted the team's deep understanding of the industry’s most pressing challenges and their strategic approach to leveraging AI for tangible improvements in the daily operations of BCOs.

As Ship Angel continues to evolve, its incorporation of innovative AI solutions paves the way for a more efficient, reliable, and transparent shipping process, positioning itself as a frontrunner in the digitization of the maritime logistics sector.