REDWOOD CITY, Calif.--(BUSINESS WIRE)--TruckLabs, a technology company helping transform the trucking industry, announced today that it has raised a $15 million Series A round to fund the continued growth of its product suite that empowers fleets to improve their operational performance by boosting fuel efficiency, increasing driver engagement, and reducing carbon emissions. The oversubscribed funding round was co-led by returning investors Calibrate Ventures, Autotech Ventures, and Uncork Capital. To date, TruckLabs has raised $24 million total in venture capital funding.
TruckLabs designs and builds technology for the long-haul trucking industry. Its flagship product, TruckWings, is an aerodynamic device that can be quickly installed to close the gap between cab and trailer on large trucks to save fuel. TruckWings are widely deployed across the trucking industry, currently operating on carrier fleets that average more than 3.5 million miles per week. TruckLabs also offers a software platform for trucker engagement and performance measurement.
“We are extremely impressed with TruckLabs’ track record of success in product development and go-to-market strategy,” said Jason Schottler, co-founder of Calibrate Ventures. “The company is well-positioned to take advantage of the growing opportunity to partner with fleets to help them save money and achieve their sustainability goals.”
The financing builds on recent successes at TruckLabs, driving its continued momentum:
- TruckWings, the company’s first groundbreaking product, is now being used by four of the top 10 trucking companies in North America and has logged more than 300 million miles overall, a strong sign of increased adoption of the active-aero technology. The patented device automatically closes the gap between the cab and trailer at highway speeds to reduce drag, improve handling, and save fuel. Since 2018, TruckWings have saved customers the equivalent of 3.1 million gallons of diesel fuel, which at the current average price of diesel equates to a savings of about $10 million. The reduction in fuel consumption also means 52 million fewer pounds of carbon dioxide were released into the atmosphere, which is the equivalent of planting 375,000 trees.
- TruckLabs recently completed an on-road test of TruckWings in partnership with Ryder System Inc., a leading logistics and transportation company. The 60-truck controlled pilot fuel test enhanced handling and saved fuel, with Ryder realizing an improvement of over 4% in net miles-per-gallon. Ryder highlighted the test in its corporate sustainability report.
- TruckLabs launched its latest innovation, TripDynamics, after a successful pilot with Mesilla Valley Transportation (MVT), based in New Mexico. TripDynamics is a gamified software platform for driver engagement, real-time feedback, and performance measurement that gives fleets the data-driven insights they need to respond to the biggest challenges facing the industry today: fuel efficiency and driver recruitment and retention. MVT is rolling out the system across its entire fleet of 1,300 trucks.
“TripDynamics changes the game in terms of driver engagement, fuel efficiency, and the overall sustainability of our fleet,” said Royal Jones, chief executive officer of MVT. “In particular, they’ve really nailed the concept of driver engagement. Whether you’re a top driver or just starting out, we all have opportunities to improve through better feedback, but it needs to be against realistic goals. TripDynamics helps level the playing field for our drivers when it comes to our bonus structures and how our drivers adjust what they are doing in the cab to significantly improve overall fuel efficiency.”
TruckLabs intends to use the new capital to expand hiring across product, sales, and engineering; invest in ongoing research and development of TripDynamics; and increase TruckWings partnerships with original equipment manufacturers.
“We are grateful for the support of our investors, who are continuing their journey with us to help transform the trucking industry,” said Daniel Burrows, chief executive officer of TruckLabs. “These latest milestones demonstrate industry confidence in our technologies and in our strategic plan to accelerate the delivery of our unique value proposition to fleets.”
Established in 2014, TruckLabs (formerly XStream Trucking) is a design and engineering company building technology for the long-haul trucking industry. Its flagship technology, TruckWings™, automatically closes the tractor-trailer gap, reducing a fleet’s fuel bill without requiring additional actions by the driver or any trailer modifications. Founded out of Stanford University, TruckLabs has won awards in several Department of Energy (DOE) competitions including National CleanTech Awards and CalTech’s FLoW competition and Heavy Duty Trucking Top 20 Products of 2019. TruckWings are currently deployed within carrier fleets that average more than 3.5 million miles per week. For more information visit: https://www.trucklabs.com/