Travis Kalanick's Atoms raises $1.7B for industrial automation

Travis Kalanick, co-founder of Uber Technologies, has secured $1.7 billion in funding for Atoms, his industrial automation venture that aims to mechanize manual labor across multiple sectors. Andreessen Horowitz led the investment round, joined by more than half a dozen other firms including Uber itself, according to details first reported by SiliconANGLE.

The startup also arranged undisclosed debt financing from a consortium of banks, bringing total capital raised to well above the equity figure.

Seven subsidiaries under one roof

Atoms operates through seven distinct business units, each targeting different automation opportunities. Most originated within City Storage Systems, a company Kalanick launched in 2016 that merged into Atoms earlier this year.

The most prominent unit is CloudKitchens, which runs ghost kitchen facilities in dozens of U.S. cities. These buildings house more than 20 individual kitchens plus logistics infrastructure designed to speed food delivery operations for restaurant partners.

Another subsidiary, Lab37, manufactures the Bowl Builder—a 19-foot automated kitchen system that uses 18 ingredient dispensers, sensors, and a steam generator to assemble food bowls and handle packaging. ProFood develops food production facilities, while Otter and Picnic provide restaurant management software and office lunch delivery services respectively.

In March, Atoms expanded beyond food service by acquiring Pronto AI, a startup that builds autonomous driving systems for mining trucks. Pronto's technology packages chips, sensors, and GPS modules in ruggedized hardware that enables vehicles to navigate mine sites without human operators.

Why it matters

Kalanick's approach consolidates automation technologies across fragmented industrial sectors rather than focusing on a single vertical. By building what he calls "atoms-based computers" for physical industries, Atoms could accelerate adoption of robotics and AI in environments where labor shortages and operational costs create strong economic incentives for automation. The substantial funding—among the largest industrial tech raises in recent years—signals investor confidence that cross-sector automation platforms can scale more effectively than point solutions.

Expansion plans and AI integration

Atoms has not disclosed specific allocation plans for the new capital. However, Kalanick indicated in a blog post that the company's automation products will incorporate artificial intelligence, suggesting some funds will support model development and training infrastructure.

The company's website references a business unit developing products for the broader transportation market beyond mining, though technical details remain undisclosed. One logical expansion path would adapt Pronto's autonomous truck technology to additional vehicle categories.

"Uber was first. Network for the physical world. Digitized transportation for the masses. CloudKitchens was next," Kalanick wrote. "But what about an OEM that builds atoms-based computers for all the major industrial sectors? We just launched that company."

The statement suggests Atoms plans to extend its automation platform into additional industrial verticals over time, following a playbook similar to Kalanick's approach at Uber—starting with specific use cases before expanding horizontally.

This funding announcement and details were first reported by SiliconANGLE.