Aerolane closes initial round of funding to disrupt air cargo industry

posted on 5th October 2023 by Eddie Saunders
Aerolane closes initial round of funding to disrupt air cargo industry

Aerolane, a startup revolutionizing the air cargo industry, announced today that it has successfully raised a $10M Seed round of funding, securing the company’s position as a major disrupter in logistics.

Leading this funding round are prominent investors who recognize Aerolane’s defined path to market and commercial deployment and its unmatched ability to dramatically cut the cost per pound of payload in fast shipping.

Aerolane is demonstrating a transformative approach to moving cargo by air that eliminates the tradeoff faced by other environmental technologies. Unlike single innovations like aircraft electrification, hydrogen and sustainable aviation fuel, Aerolane’s novel technological approach makes flight operations radically cheaper AND more sustainable.

Aerolane was co-founded by CEO Todd Graetz, who co-founded BNSF Railway’s UAS Program (the team that launched long-range beyond-visual-line-of-sight commercial drone flight in the U.S. in partnership with the FAA) and serves on multiple FAA advisory and rulemaking committees; Chief Technology Officer Doron Appelboim, who was the chief Unmanned Aircraft Systems test pilot at Amazon Prime Air and Test Pilot at Israel Aerospace Industries; and Chairman Gur Kimchi who founded Amazon’s Prime Air and helped pioneer the drone delivery industry.

Aerolane’s category leadership is fueled by its experienced team, numerous patents, and a clear regulatory path to approval with the Federal Aviation Administration.

Aerolane is proving its faster, scalable, and sustainable logistics solution by conducting trials over a large FAA-approved test area in West Texas.

Kimchi reflected: “With Aerolane, we looked for a better way to deliver massive payloads efficiently and with unsurpassed fuel savings. We were inspired by technology on the ground and in the air to deliver innovation that unlocks previously unrealized cargo capabilities.

“Aerolane’s technology allows operators to instantly boost the payload capacity of any flight, while burning significantly less fuel, reducing their emissions substantially and gaining enhanced network flexibility.”

The round was led by leading investment firms RedBlue Capital and BIG Capital. Other early-stage Aerolane investors include New Vista Capital, Shasta Ventures, Ascend, and Sand Hill Angels. Dennis Muilenburg, co-founder and CEO of New Vista Capital and former Boeing chairman and CEO, is also an investor.

“Moving at the speed of air, but at the cost of ground has the potential to unlock same-day and next-day shipping by breaking the cost curve, transforming the industry worldwide and the way operators do business,” Graetz said.

“When you find a way to save money and reduce emissions at these rates, the customers and industry will adopt it.”

Olaf Sakkers, founder and general partner at RedBlue Capital, said: “The massive cost savings Aerolane brings are only possible due to their proprietary innovations that unlock unparalleled efficiency gains.

“Startups that can both save money and save our planet are the ones we are most excited to back. Outside of aviation, Aerolane will be known for its role in reducing aviation’s carbon footprint. Inside of aviation, it will be known for unimagined cost advantages.”