Join Santosh Sankar, a partner at Dynamo Ventures; Chris Stallman from Fontanales Partners; and Julian Kunahan from Schematic Ventures as they dive into the evolving world of supply chains. They dissect the impact of recent geopolitical changes and tariffs on the industry. The trio also shares insights on the role of AI in optimizing supply chain operations and its fascinating concept of 'curiosity revenue.' With cautious optimism for the retail recovery in 2025, they discuss innovative strategies for navigating complex market dynamics and enhancing investment specialization.
The cautious optimism among investors highlights a recovering supply chain sector, yet concerns about geopolitical factors and tariffs necessitate strategic adaptability.
Industry conferences are vital for networking opportunities, emphasizing the need for a well-structured plan to maximize connections while prioritizing quality over quantity.
Deep dives
Current Sentiment in Supply Chain Investment
The investment sentiment within the supply chain sector is cautiously optimistic as industry experts observe a gradual recovery following a challenging period. Investors report a notable improvement in market sentiment going into the first quarter of the year, with increased openness to budgets compared to the previous two years. Despite this optimism, concerns about ongoing geopolitical issues and tariff uncertainties loom over investment decisions, leading many investors to proceed with caution. The discussions reveal a dual focus: while recovery is underway, strategic planning and adaptability remain crucial in navigating the evolving landscape.
Maximizing Conference Opportunities
Industry conferences are pivotal for networking and potential investment opportunities, and having a well-structured plan is essential for maximizing their benefits. Discussions emphasize the importance of creating a strategic agenda ahead of time, including identifying key attendees, scheduling meetings, and preparing for speaker sessions. Participants share their preferred strategies, which often involve connecting portfolio companies with potential partners and nurturing existing relationships rather than solely seeking new startups. The emphasis is on the human element of conferences, where the quality of connections often outweighs the sheer quantity of meetings.
Navigating Geopolitical Uncertainty
Geopolitical factors and regulatory changes are creating a landscape of uncertainty for supply chain companies, resulting in a pervasive wait-and-see attitude in many boardrooms. Discussions reveal that decision-makers are grappling with how to adapt to shifting tariffs and the potential impacts on international trade. There is a consensus that constant communication with customers is more vital than ever, as understanding their current priorities can inform business strategies. Such adaptability is essential for companies to thrive amidst an environment characterized by unpredictability and changing regulations.
The Role of AI in Supply Chain Innovation
AI technology is gaining traction in the supply chain sector as companies aim to leverage it for efficiency and improved decision-making. The conversation highlights that while many businesses are experimenting with AI applications, it is crucial for them to demonstrate tangible value and secure long-term adoption rather than relying on initial curiosity-driven budgets. Industry leaders emphasize the importance of integrating AI tools into existing workflows to drive meaningful change and address operational inefficiencies. The challenge lies in distinguishing between genuine innovation and temporary trends, prompting a call for a disciplined approach to investment in AI solutions.
The band is back together after the 2025 supply chain conference blitz and we cover how we tactically approach conference season, where the macro supply chain winds are blowing this year (tariffs, DOGE, regulatory changes, etc.), what role the latest AI into supply chain push is playing (tip: watch out for 'Annual Curiosity Revenue'), and how we think VC specilization has played out after crossing the 5th year anniversary since we all wrote some research on the topic.
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