There’s a moment in every startup’s life when it stops being just about one thing. Harbinger, the electric trucking company that’s been laser-focused on building and selling truck chassis for the past year, just hit that moment. It acquired Phantom AI, an autonomous driving software company, and now it’s playing a different game entirely.
This isn’t just another acquisition buried in the startup news cycle. It’s a signal that the EV truck space is maturing faster than anyone expected. Harbinger already closed a massive $160 million funding round backed by FedEx and THOR Industries, and now the company is actively building out new revenue streams beyond hardware.
From Hardware to Software Services
CEO John Harris laid out the vision pretty clearly in his conversation with TechCrunch. The Phantom AI acquisition will let Harbinger deepen its own driver assistance capabilities while simultaneously creating an entirely new business line. ZF Group has already signed on to license this tech, planning to integrate it into passenger vehicles for automakers.
That’s the part that gets interesting. Harris estimates this software services business will generate millions in revenue this year alone. But here’s the kicker: he’s not expecting the real payday until 2027 or 2028, once the passenger car market starts adopting the technology at scale. The volumes there are “very, very large,” he said, which is corporate speak for “this could be huge.”
For now, the Harbinger truck chassis remains the bread and butter. The software play is more of a strategic move to diversify risk and tap into adjacent markets.
Why Medium-Duty Trucks Need Better Safety
This is where the acquisition actually makes sense beyond just chasing revenue. Medium-duty trucks, the kind that navigate city streets and truck ports, are basically rolling around without any of the safety features we’d consider standard in a 2020-era passenger car. No backup cameras, no lane keeping assist, no automatic emergency braking. Nothing.
Harris pointed out the obvious problem: these vehicles spend their time in neighborhoods delivering packages, backing up to loading docks, and navigating spaces packed with pedestrians and bicyclists. It’s a high-risk environment, yet the industry has somehow normalized operating without basic safety tech.
Phantom AI’s driver assistance technology addresses exactly this gap. It’s not about cutting-edge autonomous features from Technology developed in 2026. It’s about bringing commodity safety features from a decade ago to a market segment that’s been completely overlooked.
The Vertical Integration Play
Last month, Harbinger announced it would start selling battery packs for energy storage and auxiliary power, with Airstream as the first customer. Now add software services on top. The company is clearly building a vertically integrated ecosystem where it controls more of the value chain.
This strategy makes sense when you’re competing against established automakers with massive resources. By owning more of the stack, Harbinger can offer better integration, faster iteration, and potentially better margins. It’s not a new playbook, but it’s one that actually works when executed properly.
The fact that Phantom AI’s 30-person team, including leadership, will stay in Mountain View is worth noting too. This isn’t a classic Silicon Valley acquisition where the acquired company gets absorbed and talent walks. Harbinger is keeping the team intact and independent, which suggests they’re serious about nurturing this as a standalone Business unit rather than just strip-mining the technology.
What This Means for the EV Truck Space
Every startup wants to be a unicorn, but most fail because they try to do too much too fast. Harbinger seems to be taking a different approach: dominate trucks first, then use that foothold to build out adjacent businesses. The $160 million funding round gives them the runway to make that work.
The ZF Group deal is particularly telling. ZF doesn’t partner with startups for fun or profit sharing. They partner when they think a company has real, defensible technology that their customers want. If this News announcement lands well, expect other Tier 1 suppliers and OEMs to start knocking on Harbinger’s door.
There’s still a ton of execution risk here. Software businesses require different expertise than hardware manufacturing, and Harbinger will need to prove it can manage both simultaneously. But at least they’re trying to solve real problems in a market that desperately needs solutions rather than chasing hype.
The question now is whether other EV startups will follow this playbook, or if Harbinger can use vertical integration as a competitive moat to stay ahead of the inevitable wave of established automakers entering the electric commercial vehicle space.
