At General Catalyst, we believe that the next generation of enduring companies will leverage applied AI to resolve high-impact pressure points in our most critical industries. Logistics is a prime example—an $11 trillion global industry that serves as the backbone of the physical economy, yet still runs on legacy software and manual processes. And as global supply chain pressures continue to evolve, the urgency to modernize logistics infrastructure has never been greater.
That’s why we’re proud to lead Pallet’s $27M Series B. Pallet creates AI-native logistics software that automates the manual workflows that still dominate back-office operations. With its AI workforce, CoPallet, the company completes time-consuming tasks like order entry, quoting, and portal updates 10x faster and at less than half the cost of traditional staffing. By doing so, Pallet enables logistics operators to increase throughput, reduce costs, and build resilience directly into their operations.
Resolving the Workforce Bottleneck
In the U.S. alone, logistics companies move more than 20 billion tons of freight every year. And as supply chains have condensed to support just-in-time shipping, the complexity of logistics operations has only intensified. Yet across the industry, it’s still common to find operators flipping between emails and web portals, entering data by hand, and working with manual-input spreadsheets.
Pallet addresses this head-on with CoPallet, an AI workforce that integrates with a company’s existing systems to manage and automate administrative workflows. By taking on high-volume, repetitive tasks, CoPallet allows logistics professionals to focus on high-value, customer-centric work.
“General Catalyst believes the next wave of iconic companies will come from applied AI—purpose-built systems that solve real, high-friction problems in massive industries. Pallet is doing exactly that for logistics, and we believe has the potential to be a multi-billion dollar opportunity.” –Marc Bhargava
Scaling for Impact
What stands out about founder Sushanth Raman and the Pallet team is their combination of purpose and speed. Sushanth is a truly “compound” founder who thrives across multiple types of work. At Retool, he held both engineering and sales roles, and although he grew up in the U.S., he chose to attend boarding school in India to gain a broader perspective and a more diverse formative experience. Sushanth is an explorer who loves learning and building—two essential qualities for creating a magical customer experience in a space that has seen limited innovation. We are incredibly impressed by Sushanth, his AI-native team, and their pace of product and customer development.
Demand for CoPallet has increased considerably, which is why Pallet is now expanding its product and engineering teams to scale its AI workforce infrastructure. Doing so will allow them to serve a rapidly growing customer base of freight brokers, third-party logistics providers, freight forwarders, carriers, and shippers.
“This wasn’t a story about hype, it was a story about math. Customers ran the numbers. A midsized carrier was able to reallocate 25 employees who were doing repetitive order entry, saving millions. With tariffs driving up costs across the board, the ROI was obvious, and our biggest challenge became keeping up with demand.” –Sushanth Raman
We’re thrilled to partner with Sushanth and the Pallet team as they build a new operating system for the logistics industry—one that is AI-native and designed to manage the complexity of today’s freight ecosystem.
