Cracking the Crab Code: NEC X Invests in SeafoodAI to Modernize Global Seafood Supply Chains

Courtesy: SeaFoodAI

NEC X, the Silicon Valley venture studio backed by NEC’s technologies and global reach, has announced a strategic investment in SeafoodAI, a startup developing AI-based tools to digitize seafood operations. The investment follows SeafoodAI’s graduation from NEC X’s Elev X! Ignite accelerator program.

SeafoodAI aims to address inefficiencies in the global seafood industry—particularly the crab fisheries market, valued at $11.5 billion—where outdated manual practices result in an estimated $50 billion in losses annually. Its lead product, CrabScan360, uses AI-driven biometric scanning to automate crab measurement, sorting and data collection, replacing inconsistent manual labor with a more reliable digital system.

The technology improves traceability, supports regulatory compliance and provides data analytics to processors, regulators and retailers. The company’s goal is to help industry players meet sustainability requirements, especially as major retailers like Walmart, Whole Foods and Costco commit to exclusively offering certified sustainable seafood by 2027.

“With CrabScan360, we’re digitizing what was once manual and labor-intensive,” said Rob Terry, CEO and Founder of SeafoodAI. “NEC X’s support enables us to accelerate adoption and improve transparency across the supply chain.”

During the Elev X! Ignite program, SeafoodAI worked directly with NEC X to refine its biometric scanning capabilities, leveraging NEC’s strengths in image recognition and AI. NEC X CEO Shintaro Matsumoto described the investment as part of NEC’s broader strategy to support scalable innovations that address global industry challenges.

SeafoodAI has also made progress beyond crab. It recently launched a beta version of its field scanner, is developing a digital logbook, and is collaborating with the University of Mississippi to adapt its scanner for use in aquaculture. The company is involved in accelerator programs like Techstars Water Tech and Blue Swell’s Sea Ahead, and is exploring factory automation in partnership with Hyperion.

In parallel, SeafoodAI is working with certification bodies and organizations such as Aruna, ASIC and Where Food Comes From to support digital verification in seafood sourcing. It is building a data infrastructure aimed at creating a broader digital marketplace to link harvesters, processors, regulators and retailers through real-time data.

Revenue comes from a mix of hardware sales and SaaS subscriptions, positioning the company for sustained growth in the $12 billion seafood technology market. SeafoodAI is also expanding its scanning technology to cover other high-value seafood sectors, including tuna, salmon and shrimp. It is in early-stage discussions with government agencies and recently won the Open Sphere Startup Awards 2024.

With this investment, NEC X deepens its role in supporting startups developing applied AI solutions for legacy industries. For SeafoodAI, the partnership marks a step forward in its effort to bring digital transformation to seafood supply chains.