Fabric, the Israeli startup formerly called CommonSense Robotics, has raised a $110 million Series B led by Corner Ventures, with support from various other investors: Aleph, Canada Pension Plan Investment Board, Innovation Endeavors, La Maison, Playground Ventures, and Temasek.
Founded in Tel Aviv back in 2015, Fabric provides “last-mile logistics” to help retailers of all sizes adopt on-demand fulfillment. The key is placing the logistic automation close to the end-consumer, so orders are completed locally in a network of micro-fulfillment centers.
“Our production-proven micro-fulfillment platform is fundamentally changing the face of retail,” said Elram Goren, Fabric CEO and co-founder. “Driven by our world-class proprietary technology, we are designing and building an entirely new logistics infrastructure in cities so that on-demand fulfillment and delivery can happen faster, cheaper, and at scale. Whether it’s enabling retailers to profitably fulfill one-hour deliveries or helping businesses restock their storefronts more efficiently, we aim to be the solution that empowers businesses to better serve their customers.”
In October 2018, Fabric launched the world’s smallest automated fulfillment center, which processes up to 600 orders a day with the ability to deliver in just one hour. Recently Fabric announced the buildout of an automated grocery site with three temperature zones, the first of a 12-site deal in partnership with one of Israel’s largest grocery chains.
“The demand from the market for a location-first approach to automation is just staggering. Now, with this latest round of funding, Fabric is poised to enter a new stage of hypergrowth,” said Fabric CCO Steve Hornyak.
The Israeli startup has raised $135 million to date, the last round a $20 million Series A in February 2018. This Series B will fuel expansion through US, where the company is currently building a network of its micro-fulfillment centers. The investment will also go towards growing the sales, operations, and technical support teams in the US, as well as the engineering teams in Tel Aviv.
John Cadeddu, managing partner at Corner Ventures, commented: “Fabric is the micro-fulfillment market leader with a production-proven platform that drives tremendous value for its retail partners and consumers alike,” said “We are delighted to be partnering with the Fabric team in their incredible vision to reinvent how goods are fulfilled and delivered in this on-demand world, ultimately empowering retailers to provide faster deliveries at lower costs and at scale.”