Knoxville, TN (March 9, 2010) – More than $12 trillion in merchandise is shipped annually using approximately 200 million intermodal containers, according to a recent cargo security study. Merchandise shipped via these containers includes items of high street value including cigarettes, pharmaceuticals, computers and other high tech devices, consumer electronics, and more. However, each year, approximately $50 billion worth of merchandise in these containers is lost to theft, fraud, and vandalism. In the end, the costs of theft and inefficiencies, along with the potential costs of security risks are passed along to the consumer.
Far away from the busy seaports, however, a company in Tennessee is hard at work developing a high tech solution that will free businesses from having to choose between cargo shipping efficiency and homeland security. The company, TrakLok Corporation, has developed the GeoLok™, a locking system for containers that not only monitors the container’s location as it travels, but also can refuse to open itself until the container has arrived safely at its intended destination. It is a seemingly simple idea, yet one that has the potential to impact 90% of all global trade.
Knoxville-based TrakLok Corporation announced today it has been received venture funding from Innova Memphis as part of the Tennessee Investment Company Credit Act (TNInvestco) in order to expand its efforts to bring its innovative tracking and security system to market at a time of increased attention to the importance of port security. The funding will allow the company to continue set-up of its manufacturing process and to make critical sales and marketing hires. “We have been watching TrakLok since the Tennessee Innovation Conference organized by TTDC in late 2008. Since then, the company has made enormous progress on a very tight budget – we like companies that know how to stretch a dollar.” says Jan Bouten, Partner at Innova Memphis. “The company’s portable GeoLok brings an unprecedented level of visibility and security to the logistics industry and can save manufacturers and shipping companies billions per year.”
Formed in 2008, TrakLok has developed a series of patents to create an electronic lock system to combat theft, smuggling, and vandalism to the millions of cargo containers arriving at ports and rail yards throughout the world. The locks can deny or allow entry to a protected container based on a combination of time, location, and authorization codes.
The high-tech lock system also allows companies to track and locate containers, improving efficiency and reducing losses related to spoilage, misplaced containers, and related shipping delays.
“This award represents the important role TrakLok can play in improving homeland security at our nation’s shipping ports and improving business efficiency at the same time,” said Eric Dobson, TrakLok CEO and co-developer of the TrakLok concept. “Innova Memphis singled our business out for this funding because of the strength of our management team and the viability of our product in the marketplace. We are thrilled to become the first TNInvestment.”
Eligible businesses for funding through the TNInvestco pool must be independently owned and operated Tennessee-based businesses with at least 60% of the company workforce located in the state. The funds are targeted to Tennessee businesses developing transformational technology.
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Shane Rhyne, Ackermann PR
About TrakLok Corporation
TrakLok Corporation’s mission is to commercialize products and services into the global shipping industry to revolutionize both cargo security and efficiency in order to return value to its shareholders. The company offers products that provide physical security and global visibility for highly mobile cargo and containers. Using physical security technologies, wireless communications, and wireless sensor networking, the GeoLok™ and TrakLog™ solution provides lock-tight security with total asset visibility for high value and high interest shipments throughout the world. The company was founded in 2008 and is headquartered in Knoxville, Tennessee. For additional information about TrakLok and its products, visit online at http://www.traklok.com
About Innova Memphis
Innova is a pre-seed, seed and early-stage investor focused on starting and funding high-growth companies in the biosciences, technology and agbio fields across the state of Tennessee. Through its relationship with the Memphis Bioworks Foundation, Innova provides entrepreneurs with access to incubator facilities, training and mentoring, industry networks and seasoned executives. For more information, visit www.innovamemphis.com.