Arrakis Raises $38 Million for Industrial AI Operating System at $140 Million Valuation
Updated
Updated · Fortune · Jul 22
Arrakis Raises $38 Million for Industrial AI Operating System at $140 Million Valuation
2 articles · Updated · Fortune · Jul 22
Summary
$38 million in funding has brought London- and Paris-based Arrakis out of stealth, with a $30 million Series A valuing the seven-month-old startup at $140 million post-money.
Arrakis says it targets aerospace, energy, logistics and manufacturing, arguing AI has focused too heavily on desk workers while the bigger return lies in industrial operations.
Five customers are already using its model-agnostic software, which starts with OpenAI or Anthropic models and can shift to open-source alternatives to cut token costs by about 70%.
Rafael Quintanilla, a former Accel vice president, says Arrakis differentiates itself from Palantir, consultants and product-engineering rivals by automating operational workflows and tying roughly half its fees to performance targets.
The company plans to triple its roughly 15-person headcount and open New York and Middle East outposts as competition intensifies across industrial AI.