Peter Thiel's Valar Ventures-backed Velocity to invest Rs 100 crore to scale its AI led-shipping platform

Velocity, an e-commerce enablement platform, has announced a Rs 100 crore investment to scale Velocity Shipping (formerly Shipfast), as it doubles down on advancing faster, more reliable and transparent AI-led logistics for digital-first brands.

The investment will be deployed over the next 2 years and will be funded entirely through internal cash reserves and revenues from Velocity’s core businesses.

Since its launch in 2025, Velocity Shipping claims that it has onboarded over 900 brands, with around 60% of these coming from Velocity’s existing ecosystem. The platform is currently witnessing 70% month-on-month growth in order volumes and now contributes nearly 40% of Velocity’s overall revenues, the firm said.

In December 2025, Velocity Shipping processed over 10 lakh orders. To support the growth, the firm said that Rs 100 crore investment will be directed toward strategic hiring, product development, and AI-led innovation across the logistics value-chain.

Velocity plans to double its shipping team and has already made senior hires from NimbusPost, Pickrr, Delhivery and Shiprocket as it strengthens its shipping and last-mile capabilities. The company is also targeting a 5x increase in monthly shipping volumes in CY26.

“We started Velocity by solving one of the biggest bottlenecks for digital-first brands: access to capital. As we worked closely with thousands of founders, it became clear that logistics and fulfilment were equally critical constraints to growth, but existing solutions needed to evolve to better support digital-first brands. Velocity Shipping was built as a strong, operator-first alternative to existing shipping solutions, with reliability and accountability at its core,” said Abhiroop Medhekar, Co-Founder and CEO, Velocity.

“Its rapid adoption has reinforced our belief in shipping as a major growth engine for Velocity. This Rs 100 crore commitment reflects our long-term conviction to double down on shipping as we build category-defining digital infrastructure for India's e-commerce ecosystem,” Medhekar added.