TOKYO,Aug. 22,2024 -- NIPPON EXPRESS HOLDINGS,INC.,made an investment on Tuesday,August 20,in Gatik AI Inc. (hereinafter "Gatik"),a company developing self-driving technology for commercial vehicles and autonomous vehicle-based logistics services in North America,via the NX Global Innovation Fund.

Gatik Logo: https://kyodonewsprwire.jp/img/202408205135-O3-j1d7H638

NX Logo: https://kyodonewsprwire.jp/img/202408205135-O1-W5Zm73Ks

Profile of Gatik

Gatik,a startup company founded in the United States in 2017,provides logistics services using autonomous trucks. The company has expertise not only in autonomous software development but also in the overall design,testing and evaluation of autonomous vehicles,and successfully completed the world's first commercial deliveries using unmanned autonomous vehicles on public roads in 2021. It specializes in short- and medium-haul business-to-business (B-to-B) logistics,and provides logistics services using self-driving vehicles for "middle-mile" deliveries between shippers' intermediate warehouses and between warehouses and stores. The company has been expanding its business in North America with major U.S. retailers such as Walmart and Kroger as well as food and beverage manufacturers and other shippers that handle daily commodities and food products.

Image: https://cdn.kyodonewsprwire.jp/prwfile/release/M103866/202408205135/_prw_PI4fl_81008g53.jpg

Investment background and objectives

Autonomous driving technology is attracting a great deal of attention as a solution to social issues such as the aging of drivers,human resource shortages,soaring labor costs,traffic accidents caused by human error,and an increase in mobility-impaired people due to the aging of societies. Japan's government has announced a policy aiming for the year-round operation of autonomous vehicles on public roads in all prefectures by FY2025,and efforts toward full-scale operations are accelerating. Increased operational efficiency is also expected to improve fuel efficiency vis-a-vis manned operations,helping to satisfy rising social demand for decarbonization.

The NX Group supports the logistics needs of customers in various industries and provides many of them with "middle-mile" logistics services,especially for delivering raw materials to factories or shipping finished products. By establishing capital ties with Gatik,whose efforts are compatible with such a business model,the Group is seeking to deepen its knowledge of the cutting-edge autonomous trucking business. The Group is also looking to work with Gatik in the U.S. and elsewhere globally.

The NX Group will continue resolving social issues by co-creating businesses with startup companies in Japan and overseas,and contributing to the realization of sustainable societies where all people can lead productive and fulfilling lives.

Profile of investee

Company name:Gatik AI Inc.

Head office location: 161 E Evelyn Ave,Mountain View,CA 94041 USA

Year established: 2017

Representative: Gautam Narang

Description of business: Development of autonomous driving systems,peripheral functions and tools,and provision of autonomous logistics services

Website: https://gatik.ai/

About the NX Group: https://kyodonewsprwire.jp/attach/202408205135-O1-P1Z2dzZa.pdf

NX Group official website: https://www.nipponexpress.com/

NX Group's official LinkedIn account: https://www.linkedin.com/company/nippon-express-group/