Relay Raises $36 Million to Turn Frontline Communication Into AI-Powered Operational Intelligence

Hookline: The next AI revolution may not happen behind a desk. It could happen on the factory floor, inside a hotel, across a hospital, or wherever frontline workers are turning conversations into action.

For decades, frontline workers have relied on one of the simplest communication technologies ever created: the two-way radio.

The technology is dependable, immediate, and easy to use. But in an increasingly AI-driven business environment, traditional radios have one major limitation — the valuable information exchanged through them often disappears as soon as the conversation ends.

Relay is building a different future.

The Raleigh, North Carolina-based technology company is transforming the familiar push-to-talk experience into a cloud-connected communication and operational intelligence platform designed for frontline teams.

On September 30, 2026, Relay announced $36 million in new funding, bringing its total capital raised to more than $90 million. The round was led by International Paper, with participation from new investors including Cerity Partners, Harmonic Growth Partners and Thayer Investment Partners, alongside existing investor G2 Venture Partners. Relay said the round was significantly oversubscribed.

The new capital comes as Relay expands beyond its roots as a smart walkie-talkie provider and positions itself as an AI-powered “system of action” for physical operations.

From Walkie-Talkies to Frontline Intelligence

Relay’s proposition starts with a simple observation: most frontline workers do not spend their working day sitting in front of a computer.

They work on manufacturing floors, in hotels, hospitals, warehouses, casinos, campuses and other physical environments. They need to communicate quickly while moving around, wearing gloves, dealing with noise and responding to real-world situations.

Traditional enterprise software is generally designed around typing, clicking and structured data entry. Frontline work often operates differently.

A worker might notice an unusual machine sound, identify a maintenance issue, report a safety concern or tell a colleague about a problem — all through a quick verbal conversation.

Relay wants those conversations to become part of the digital operational record.

Its platform combines cloud communications, AI, real-time translation, location awareness, automated workflows and purpose-built hardware. The company says its technology supports communication across 35 languages and is deployed across manufacturing, hospitality, healthcare and other frontline environments.

The broader idea is to capture what Relay calls the “human signal” — the operational knowledge that frontline employees communicate verbally but that may never make it into an enterprise system.

$36 Million Funding Round: What We Know

Relay’s latest funding is one of the company’s most significant financing milestones.

Funding: $36 million

Date announced: September 30, 2026

Total capital raised: More than $90 million

Lead investor: International Paper

Other participating investors:

• Cerity Partners
• Harmonic Growth Partners
• Thayer Investment Partners
• G2 Venture Partners

The involvement of International Paper is particularly notable because the company is both an investor and a Relay customer.

International Paper operates complex industrial environments where communication reliability is critical. According to the company, Relay has demonstrated dependable communications in loud and demanding industrial settings. International Paper said the new funding will help accelerate Relay’s software and AI capabilities, worker-safety solutions, enterprise integrations, next-generation hardware and expansion across industrial and hospitality markets.

For Relay, the investment therefore represents more than access to capital. It also demonstrates interest from an established industrial operator in applying AI and connected communications to physical operations.

Where Will Relay Use the New Funding?

Relay says the new funding will support several areas of expansion.

1. AI and Operational Intelligence

A major focus will be the company’s software and AI platform.

Relay plans to develop an insights and agentic layer that can allow organizations to query shift data and take action based on information generated during frontline operations.

This represents a shift from simply communicating information to potentially helping organizations understand and act on that information.

2. Worker Safety

Safety remains an important part of Relay’s platform.

The company’s technology includes capabilities such as emergency alerts, location awareness and communication tools designed for frontline environments. Its latest funding is expected to accelerate further development in this area.

3. Enterprise Integrations

Relay also plans to strengthen connections between frontline communication and the enterprise systems companies already use.

The goal is to reduce the gap between what happens on the physical floor and what appears inside business software.

4. Next-Generation Hardware

The company intends to continue developing purpose-built hardware for frontline environments rather than expecting workers to rely exclusively on smartphones or desktop computers.

5. Industrial and Hospitality Expansion

Relay plans to expand further across industrial and hospitality markets while continuing to invest in its product and go-to-market teams.

A Major Product Update: Relay Communicator

The funding announcement was not Relay’s only major development in September.

On September 16, 2026, the company introduced Relay Communicator, a new app that adds picture messaging to its frontline communication platform.

This is important because voice is not always the best way to communicate what is happening on a physical worksite.

A picture can sometimes communicate a damaged component, maintenance issue, room condition or operational problem faster than a verbal description.

Relay says its new Communicator app is designed for everyday communication, while a separate Relay Admin application focuses on configuration and fleet management. Both applications were made available through the Apple App Store and Google Play.

The addition of picture messaging shows how Relay is expanding beyond its original push-to-talk identity.

The company’s broader platform is increasingly designed to capture different forms of frontline information and connect them to operational workflows.

Relay’s Growth Continues

Relay also received another growth-related milestone in August.

On August 10, 2026, the company announced that it had been named to the Inc. 5000 list of America’s fastest-growing private companies for the third consecutive year.

Relay ranked No. 830 in the 2026 list, moving up 90 positions from its 2025 ranking, according to the company.

The recognition follows the company’s earlier reported growth trajectory.

Relay previously reported 461% three-year revenue growth and was ranked No. 175 on the 2025 Deloitte Technology Fast 500.

The company’s recent growth has also been reflected in its customer base and deployment footprint.

Relay says it now serves hundreds of thousands of frontline workers, works with approximately 10% of Fortune 500 companies, and is deployed across nearly 10,000 sites. The company also says its platform processes more than one billion data points every week.

These are company-reported figures and should be viewed in that context.

Relay’s Focus on Manufacturing

Manufacturing has emerged as an important market for Relay.

Throughout July and August 2026, the company published a series of articles focused on communication challenges across manufacturing environments.

One July article examined communication and food-safety challenges on production floors, while August content addressed employee engagement, shift handovers and the changing requirements of modern manufacturing communication systems.

Relay argues that modern manufacturing communication needs to do more than transmit voice.

Its August 18 article described a next-generation communication system as one that can capture, translate and route voice while turning frontline conversations into structured information.

This reflects the company’s larger strategic direction: moving from a communications product toward an operational intelligence platform.

Why the Frontline Workforce Matters for AI

The rise of generative and agentic AI has largely focused on knowledge workers.

AI assistants can summarize meetings, write emails, analyze documents, generate code and answer questions.

But a significant portion of the workforce operates in environments where those tools are less convenient.

A manufacturing employee cannot necessarily stop operating machinery to type a report. A hotel housekeeper may not have access to a desktop computer. A hospital worker may need to communicate while moving between locations.

This creates an interesting challenge for enterprise AI:

How do you bring AI into environments where people cannot constantly interact with screens?

Relay’s answer is to start with the communication method frontline employees already understand.

Pick up the device. Push the button. Speak.

The technology behind that interaction can then handle transcription, translation, routing, location information and workflow automation.

That approach allows Relay to pursue AI adoption without requiring frontline workers to completely change how they work.

Turning “Signal Evaporation” Into Data

One of Relay’s central concepts is what it calls “signal evaporation.”

The company argues that frontline workers constantly notice and communicate important information, but much of that information never becomes a formal record.

Relay’s September funding announcement cited research involving 500 U.S. manufacturing professionals at organizations with at least 500 employees. According to the survey, only 17% said almost everything frontline workers notice and flag ends up in a system, log or formal report. The same research found that 79% said communication breakdowns cause delays, rework or missed handoffs at least several times a month. The survey was conducted by Dynata on behalf of Relay in August 2026.

The underlying problem is straightforward.

Enterprise systems can be excellent at storing structured information.

But if important information never enters the system in the first place, the software cannot act on it.

Relay is attempting to bridge that gap.

Relay’s Enterprise Traction

Relay says its platform is already being used at scale.

According to the company’s September funding announcement, Relay:

• Serves hundreds of thousands of frontline workers
• Is used by approximately 10% of Fortune 500 companies
• Has deployments across nearly 10,000 sites
• Processes more than 1 billion data points per week
• Supports 35 languages
• Reports 99% gross revenue retention among enterprise customers
• Reports 130% net revenue retention among enterprise customers

Again, these performance and customer figures are company-reported.

The company has also attracted attention from the hospitality industry. Thayer Investment Partners, which participated in the new funding round, said Relay is increasingly being adopted in hospitality, particularly at complex luxury hotel, resort and casino properties.

The Evolution of Relay

Relay’s current strategy is a significant evolution from its earlier product.

The company initially became known for its cloud-connected communication devices designed to replace traditional two-way radios.

Its 2024 Series B funding of $35 million, led by G2 Venture Partners, helped accelerate its expansion into new markets and product development. At the time, Relay said its platform was serving thousands of frontline businesses and hundreds of thousands of deskless workers.

Today, the company is positioning the platform around a much broader proposition.

The radio is no longer simply the endpoint.

It becomes the interface through which frontline employees communicate with an increasingly intelligent operational system.

What Makes Relay’s Strategy Different?

Relay is operating at the intersection of several technology trends:

Artificial intelligence + connected hardware + workforce communications + industrial technology + operational data.

Instead of asking frontline employees to adopt another complicated application, Relay is attempting to embed intelligence into a tool they already understand.

This is particularly relevant in environments where speed and simplicity matter.

The company says its system is designed to work with minimal behavior change, allowing workers to continue using voice communication while the underlying platform handles the digital processing.

That could become increasingly important as companies look for ways to introduce AI into physical operations without creating additional complexity for workers.

What Comes Next for Relay?

The latest funding gives Relay capital to pursue a broader vision.

The company says its next phase will focus on:

• AI-powered operational intelligence
• Agentic capabilities
• Worker safety
• Enterprise software integrations
• New frontline hardware
• Industrial expansion
• Hospitality expansion
• Product development
• Additional hiring

The introduction of picture messaging also suggests that Relay’s platform is moving toward a richer communication environment where voice, images, location and operational data can work together.

The company’s challenge will be turning that growing stream of frontline information into useful, secure and actionable intelligence while maintaining the simplicity that helped drive adoption in the first place.

Final Takeaway

Relay’s $36 million funding round marks an important new chapter for a company that started with a deceptively simple idea: make frontline communication easier.

Today, Relay is attempting something much larger.

It wants to transform the humble push-to-talk device into an intelligent interface for physical operations — one capable of capturing conversations, translating languages, understanding context, connecting workers, supporting safety and feeding operational intelligence into enterprise systems.

The company’s recent milestones reinforce that transition.

In August 2026, Relay earned its third consecutive Inc. 5000 recognition. In September, it introduced picture messaging through Relay Communicator. And on September 30, it announced $36 million in new funding, taking total capital raised above $90 million.

The bigger opportunity extends beyond replacing traditional radios.

As AI moves deeper into the physical economy, companies will need ways to connect intelligent software with the people who actually operate factories, hotels, hospitals, warehouses and other real-world environments.

Relay is betting that the next generation of workplace intelligence won’t begin with a keyboard or a screen. It will begin with a voice.

written by
jahnavi R