This Week on Supply Chain Now: August 24th – 28th

Supply chain technology is a hot commodity. Venture capital investments in supply chain tech and technology-based logistics companies have totaled an estimated $15.4 billion in 2024, and more than 150 supply chain startups have been acquired in the last two years as logistics companies work to leverage cutting-edge technology to improve their services. According to a Kearney report, the biggest capital infusions have been in delivery technology, warehouse automation, and supply chain digitization and artificial intelligence (AI), and the investments are paying off. “Quite simply, the more you invest, the better you get at monetizing breakthrough innovation.” Freight brokerages, in particular, are looking to technology to help set them apart – or stay in business. Brush Pass Research reported there are 17.5% fewer active freight brokerages today than there were two years ago. Three Supply Chain Startups to Know StartUs Insights identified the top nine supply chain innovations and trends for 2025: AI Internet of Things (IoT) Flexible supply chains Big data and analytics Robotics Supply chain sustainability Supply chain traceability Last-mile delivery Cybersecurity   “The supply chain has several variables that hinder its efficiency, including globalization, government regulations, pandemics, international transportation costs, increasing competition, and more,” StartUs said of…

An estimated 12% of global trade worth more than $1 trillion traverses the Red Sea each year. When Houthi rebels started attacking commercial vessels in November 2023, ocean carriers began rerouting container ships around Africa’s Cape of Good Horn rather than through the Suez Canal on voyages from Asia to Europe. That greatly increased travel time and costs. As of March of this year, shipping through the Red Sea was still down 70% from before the attacks began, according to The Economist, with many ocean carriers still avoiding the Bab el-Mandeb Strait, which separates the Red Sea from the Gulf of Aden and the Arabian Peninsula. Maritime Industry Caught in the Crosshairs Houthi rebels launched attacks on ships in the Red Sea in response to Israel’s military operations in Gaza. The Houthis attacked more than 100 cargo ships between November 2023 and January 2025. The attacks, with missiles and drones, sunk two vessels and killed four sailors. In late October 2024, a headline in gCaptain read, “Red Sea Is Now So Dangerous Even NATO Warships Are Avoiding It.” “The United States Navy continues to send warships through the Red Sea, but its mission to protect merchant ships – Operation Prosperity…