Revolutionizing Supply Chains with AI

Tesla's journey to scale its Model 3 production in 2018 was tumultuous, highlighting the complexities of supply chain management. This experience inspired the creation of Atomic (https://dvxventures.com/) , a startup co-founded by former Tesla employees Michael Rossiter (https://www.linkedin.com/in/michaelrossiter) and Neal Suidan (https://www.linkedin.com/in/nealsuidan) . With a $3 million seed round led by DVx Ventures (https://www.dvxventures.com/) and support from Madrona Ventures (https://www.madrona.com/) , Atomic aims to streamline supply chains using agentic AI.

Atomic's innovative approach is designed to make inventory planning faster and more efficient. The company has already demonstrated its capabilities with pilot customers, achieving remarkable results such as cutting inventory levels in half while maintaining a 99% in-stock rate. This balance allows businesses to free up working capital, reducing risk without sacrificing customer service, as noted by former Tesla president Jon McNeill (https://www.linkedin.com/in/jonmcneill) .

In today's world, where uncertainty reigns, the demand for adaptable and efficient supply chain solutions is more pressing than ever. Suidan points out that traditional planning processes can be time-consuming and complex, often involving weeks of scenario analysis that yields unexpected questions. Atomic’s software alleviates these bottlenecks by enabling planners to simulate multiple scenarios quickly, turning what used to take days into mere hours.

Rossiter and Suidan emphasize the importance of a flexible data model that can be customized for various clients without requiring extensive development time. Their goal is to empower planners with precise control over their inventory processes, giving them ownership and the ability to explain their plans thoroughly. This approach not only solves logistical issues but also enhances operational efficiency.

Many former Tesla employees have ventured into entrepreneurship, but Atomic stands out by building on the foundational philosophy they developed while at Tesla. McNeill highlights that Rossiter and Suidan were key figures in developing the end-to-end supply chain orchestration system at Tesla, which transformed their operations dramatically.

Suidan reflects on the challenges faced at Tesla, where disparate teams would work in isolation, leading to inefficiencies and confusion. Their mission at Atomic is to replicate and extend the transformation they achieved at Tesla to businesses of all sizes. With their sights set high, Rossiter expresses a bold vision: to support every company that sells physical goods.

Cited: https://techcrunch.com/2025/04/15/former-tesla-supply-chain-leaders-create-atomic-an-ai-inventory-solution/