Why We Invested in PYCK

Warehouse management should be seamless. But for years, companies have struggled with rigid, outdated, and costly Warehouse Management Systems (WMS) that are slow to adapt. Warehouse operators are stuck with vendor lock-in, expensive upgrades, and inefficiencies that make processes more complex than necessary.

When we met the team behind PYCK, we saw an opportunity to back founders who wanted to disrupt the status quo for WMS systems.

A Flexible, AI-Driven WMS for the Future

PYCK is built around customization and adaptability. Its WMS platform is AI-powered and fully customizable, giving warehouses the flexibility to adjust workflows in real time without costly delays or lengthy IT projects.

But what sets PYCK apart is its open-source approach. Traditional WMS providers keep businesses locked into their ecosystems. PYCK flips that model, fostering continuous innovation and community-driven improvements, allowing businesses to scale and evolve without constraints.

A Team That Knows the Industry Inside Out

Behind every great startup is a team with deep expertise; PYCK is no exception.

Daniel is a logistics veteran. He was formerly Head of Innovation at Dematic, where he shaped warehouse automation for some of the world’s largest supply chains.

Max is a seasoned systems architect with 17+ years of experience, specializing in scalable software solutions.

Together, they’re not just building software but reshaping how warehouses operate.

Why We’re Backing PYCK

We invest in startups that solve critical industry problems, and PYCK checks every box:

Massive Market Opportunity – The warehouse automation sector is ripe for disruption.
Scalable Business Model – SaaS-driven with high flexibility and strong margins.
Exceptional Founders – Deep industry expertise and execution ability.

We’re thrilled to back PYCK. This is just the beginning of what we believe will be a game-changing journey in logistics technology.

The future of warehouse management is here - and PYCK is leading the way.

Our Investment in Autopallet Robotics

As warehouses struggle with labor shortages, rising costs, and efficiency bottlenecks, companies need solutions that easily integrate with existing operations.

That’s why we invested in AutoPallet Robotics—a company redefining warehouse automation with mobile robots designed for whole-case picking processes.

Addressing a Billion-Dollar Problem

Warehouses and distribution centers in the U.S. spend over $10 billion annually on labor inefficiencies, yet more than 50% still rely on manual workers for bulk order picking. Traditional automation solutions have been expensive, rigid, and out of reach for many businesses.

AutoPallet Robotics offers a scalable, cost-effective alternative—a fleet of intelligent, self-navigating robots that operate autonomously in high-volume logistics environments. Their Robotics-as-a-Service (RaaS) model eliminates the need for heavy upfront investment, allowing businesses to pay per pick at a fraction of traditional labor costs.

What Sets AutoPallet Robotics Apart

Autonomous, AI-Powered Robots – Equipped with real-time navigation and obstacle avoidance, AutoPallet Robotics’ robots integrate seamlessly into warehouses without infrastructure changes.

Scalability & Throughput - AutoPallet Robotics can process 10,000 to 100,000 boxes daily, delivering high efficiency at scale, making it an ideal solution for large distribution centers.

Cost Reduction – The RaaS model significantly lowers labor costs, offering a pay-as-you-use pricing structure that ensures predictable operational expenses.

Why We’re Backing AutoPallet Robotics

We look for companies that combine strong technology, a great team, a massive market opportunity, and a scalable business model. AutoPallet Robotics meets all the criteria:

A massive, growing market – Warehousing automation is projected to be a $30 billion industry by 2026.
A strong team with a clear vision – Eric and Nathan bring deep experience in robotics, AI-driven navigation, and system integration.
Cutting-edge technology – AI-powered robots that work autonomously and adapt to warehouse needs.
A clear path to adoption – The RaaS model makes automation accessible to a broader range of customers.

After visiting AutoPallet Robotics’ prototype in San Francisco, we were impressed by how much they quickly accomplished with limited resources. Version 2 of their robot was remarkable; we believe AutoPallet Robotics is well on its way to becoming a major player in warehouse automation.

That’s why we’re excited to invest in their latest round—to support a solution that brings efficiency, scalability, and automation to modern logistics.

our missing drone logistics portfolio company

Drones have captured imaginations across industries, especially in logistics, where they offer the potential for faster, more efficient deliveries. Drones are seen as the inevitable future modality from healthcare transport to last-mile solutions.

Drones are impressive in their technical ability—covering distances, carrying light payloads, and moving through complex airspace. But when evaluating drone businesses, the question isn't just whether they can fly; it's whether they can scale. Despite their appeal, we at Xpress Ventures haven't deployed capital in a drone company. Here's why:

Challenges to Drone Adoption in Logistics:

Regulatory Hurdles: Drones aren't free to roam the skies as they please. There are strict regulations, particularly in urban areas where crowded airspace is a concern. Current rules limit how and where drones can operate, slowing down broader adoption. Additionally, drone regulations vary vastly from jurisdiction to jurisdiction, making quick scaling tricky.
NIMBYism (Not In My Backyard): Many people are hesitant to embrace drones in their personal or workspaces. While drones are fascinating in theory, public resistance to more airspace clutter is a genuine concern. Balancing public perception with practical applications will be a hurdle.
High Competition, Low Differentiation: Almost every drone startup pitches the same initial use case—transporting medical supplies. While vital, this niche is oversaturated and lacks differentiation. The focus often remains on drones (design, capacities, etc.), with little thought given to human-drone interaction or how hospitals would operationalize them.
Limited Immediate Use Cases: Beyond healthcare, there are few other immediate, viable use cases for drones. Drones are unlikely to take over urban deliveries any time soon. The general public—and regulators—aren't ready for drones buzzing through city streets, and more extensive logistical networks face challenges when trying to integrate drones effectively.
Economic Viability: Logistics companies operate on razor-thin margins, and introducing drones comes with significant costs. Even with high-value items like organ transplants, the cost-saving potential versus traditional transport remains a question mark.

Where We See the Opportunity

Despite these challenges, there's a reason we monitor drones. The most significant potential lies in the middle-mile segment, which involves moving goods between distribution centers over longer distances with larger payloads. Think of it as a drone version of trucking. We're also paying attention to companies that approach the logistics problem holistically, integrating drones into more significant, sustainable logistics systems.

We're always open to founders with new ideas, especially those addressing the abovementioned limitations. If you're working on something innovative in logistics or drone technology, reach out. We're particularly interested in long-lasting, fast-growing businesses that think beyond flying objects and see the bigger picture in the future of logistics.