Digital Kitchen led by ex-Uber execs raises $20 million from Founders
Digital Kitchen, a start-up based by two ex-Uber executives, has simply raised $20 million of recent capital, in accordance with a submitting on Tuesday with the SEC. The corporate gives expertise to arrange industrial kitchens designed for supply, permitting eating places to get meals to clients with out the expense and trouble of operating a eating room or storefront — a mannequin that is particularly enticing within the age of coronavirus lockdowns. One in all its clients, Poki Time, mentioned late final 12 months that it was changing all three places to digital kitchens.
The corporate was based in 2018 by CEO Ken Chong and Matt Sawchuk. Chong was beforehand a product supervisor for Uber’s market enterprise, and Sawchuk was a gaggle supervisor at Uber Eats.
The companions are going up towards their former boss. Travis Kalanick, who was the CEO of Uber till he was ousted in 2017, is the founder or Cloud Kitchens, which reportedly raised $400 million from Saudi Arabia’s Public Funding Fund final 12 months. Based on market analysis agency Stories and Knowledge, the worldwide marketplace for cloud-based kitchens will develop from about $650 million in 2018 to $2.6 billion by 2026.
Eating places that associate with Digital Kitchen or Cloud Kitchens can nonetheless use supply apps like Uber Eats, DoorDash and Grubhub. Uber has come to depend on its supply enterprise for the reason that pandemic closed down a lot of the financial system and led employers to transform to distant work. Uber mentioned final month that gross bookings for Uber Eats jumped 113% within the newest quarter, whereas its core ride-hailing enterprise plunged 73%.
The spherical was led by Keith Rabois, a associate at Peter Thiel’s Founders Fund, and comes simply over a 12 months after a $15.3 million spherical led by Andreessen Horowitz and Base10 Companions.
Digital Kitchen did not instantly reply to a request for remark.