Shopify will acquire 6 River Systems for $450 million

Shopify was founded in 2004, went public in 2015, and now supports 800,000 business in 175 countries. Businesses use Shopify to establish their stores’ online and/or brick and mortar presence, as well as support their payment and shipping processes. Because of Shopify’s scalability, businesses of all sizes can use its platform for logistics and audience growth. 

Shopify does for merchants what Amazon does for buyers. In the last year, Shopify’s value has grown 180% to $45 billion. It has surpassed eBay’s value, even though eBay still sells a higher volume of goods. Their merchants run from Penguin Books to Canadian marijuana growers to Kim Kardashian’s beauty lines. 

“By joining Shopify, we’re changing the game of fulfillment. Together, we will help thousands of businesses improve their fulfillment operations, with an easy-to-learn solution that can more than double productivity and improve accuracy,” said Jerome Dubois, co-CEO and co-founder of 6 River Systems, in a statement. 

Now operating in more than 20 warehouses in North America and Europe, 6 River Systems was founded in 2015 in Waltham, Massachusetts. Two of the founders, Dubois and Rylan Hamilton, served as Kiva Systems executives. Kiva Systems later became Amazon Robotics. 

“There is a growing trend for marketplaces like Shopify and eBay to leverage distribution center assets they build and lease as well as leverage third parties to provide facilities and fulfillment services,” said e-commerce consultant Brittain Ladd in an August interview. “The future of commerce is having the ability to forward deploy inventory as close to customers as possible. Why? Because the closer inventory is to customers the faster and cheaper it is to fulfill orders and deliver the products. This means that supply chains have to evolve from massive distribution centers to more of a hub-spoke-delivery station model.”