Electric boat startup Arc has secured $50 million in new funding from investors including Eclipse, Menlo Ventures, and a16z. The company is leveraging the capital to transition from consumer electric speed boats into larger marine applications such as tugboats, ferries, and defense vessels. This strategic shift marks a significant expansion of Arc’s operations into commercial and specialized maritime markets.
CEO Mitch Lee discussed the company’s evolution and future plans in an interview with Caroline Hyde on “Bloomberg Tech.” The funding round reflects growing investor confidence in sustainable marine technology and the potential for electrified vessels across diverse sectors. Arc aims to apply its expertise in high-performance electric propulsion systems to create efficient, low-emission solutions for industrial and defense use.