Algorhythm Holdings Announces Major SemiCab Contract Expansion with Apollo Tyres
Rhea-AI Summary
Algorhythm Holdings (NASDAQ: RIME) announced a major expansion of SemiCab's Master Services Agreement with Apollo Tyres on January 6, 2026. Under the expanded contract, SemiCab will provide managed transportation across 20 high-density lanes in India with increased shipment frequency and TMS integration.
The expanded relationship has the capacity to generate up to $2.5 million of annual revenue for SemiCab. SemiCab began a commercial pilot with Apollo Tyres in September 2024 and delivers services via an AI-enabled Collaborative Transportation Platform offering live load tracking, automated invoicing, and platform bots to reduce empty miles and service costs.
Positive
- Up to $2.5M potential annual revenue from Apollo Tyres
- Expansion covers 20 densely populated lanes in India
- Commercial pilot launched in September 2024, now scaled
- Platform integrates with existing TMS and offers live tracking
Negative
- None.
News Market Reaction 23 Alerts
On the day this news was published, RIME gained 19.61%, reflecting a significant positive market reaction. Argus tracked a peak move of +46.8% during that session. Our momentum scanner triggered 23 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $602K to the company's valuation, bringing the market cap to $4M at that time. Trading volume was exceptionally heavy at 54.8x the daily average, suggesting very strong buying interest.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus 2 Up
Momentum scan shows peers WTO and BOXL moving up 4.800000041723251% and 7.930000126361847%, respectively, suggesting some broader sector strength alongside this company-specific contract expansion.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Dec 22 | Year-in-review update | Positive | -2.2% | Recap of transformational 2025 with strong SemiCab ARR and contract growth. |
| Dec 11 | Contract expansion | Positive | +1.6% | Largest SemiCab contract expansion adding up to $5.5M annual service revenue. |
| Dec 05 | Partnership announcement | Positive | +29.1% | Provisi.ai sales partnership to drive U.S. SaaS Apex platform adoption. |
| Nov 24 | Contract expansion | Positive | +9.0% | Marico expansion adding about $3M annualized AI logistics revenue opportunity. |
| Nov 19 | Earnings update | Positive | -23.2% | Q3 2025 revenue surge to $1.7M and >1,200% SemiCab growth but sharp selloff. |
News on AI logistics growth and multi-million contract wins has often been positive, with three prior contract/partnership announcements seeing aligned gains, but two major fundamental updates saw negative price divergences.
Over the past several months, the company shifted into a pure-play AI logistics model and scaled SemiCab’s contracts in India. On Nov 19, 2025, Q3 revenue reached $1.7M, up 1,273% YoY, yet the stock dropped 23.23%. Subsequent multi-million expansions, including a roughly $3M Marico opportunity and a $6M contract scaling to 183 lanes, produced positive reactions. A Dec 22, 2025 recap highlighting SemiCab ARR growth to over $8M still saw a modest decline. Today’s Apollo Tyres expansion adds another recurring revenue opportunity to that trajectory.
Market Pulse Summary
The stock surged +19.6% in the session following this news. A strong positive reaction aligns with prior rallies following multi-million contract wins and AI logistics partnerships, where three of the last five news events produced gains up to 29.06%. However, large fundamental updates such as the Q3 revenue surge to $1.7M also saw a 23.23% pullback afterward, highlighting execution and financing risks. Investors monitoring such a move might weigh the new $2.5M-capacity Apollo Tyres revenue against the company’s past volatility and capital-structure overhang.
Key Terms
master services agreement financial
ai-enabled technical
tms technical
AI-generated analysis. Not financial advice.
Expanded Relationship Provides SemiCab With Capacity to Generate up to
Fort Lauderdale, FL, Jan. 06, 2026 (GLOBE NEWSWIRE) -- Algorhythm Holdings, Inc. (“Algorhythm”) (NASDAQ: RIME) – a leading AI technology company, today announced that SemiCab was recently awarded a large expansion to its Master Services Agreement with Apollo Tyres, Ltd. (“Apollo Tyres”), the second largest tire manufacturer in India with over
Under the terms of the expanded agreement, SemiCab will provide managed transportation services to Apollo Tyres along 20 densely populated lanes in India as well as provide higher overall frequency of loads shipped across the enlarged geographical footprint. The expanded relationship with Apollo Tyres has the capacity to generate as much as
SemiCab’s managed services are powered by its AI-enabled, cloud-based Collaborative Transportation Platform, which is designed to reduce service costs, improve delivery accuracy, and eliminate empty miles. The platform improves visibility into the entire transportation network by providing live tracking for every load. It can identify, create, and execute real-time collaboration opportunities between shippers and transporters – without altering business workflows. Additionally, the platform integrates with existing TMS systems for automated indenting, invoicing, and real-time shipment visibility, and utilizes platform bots for extracting information and automating repetitive tasks.
Ajesh Kapoor, CEO of SemiCab Holdings, LLC, commented, “We are pleased to be a partner to such a prestigious multi-national company like Apollo Tyres, which is a globally recognized leader in the tire industry. This new expansion of our existing relationship opens the door to immense growth opportunities for us. By leveraging our AI-powered platform, we are highly confident in our ability to drive significant cost efficiencies and delivery strong performance improvements for Apollo across much of India. This partnership represents a major step forward in our mission to revolutionize freight logistics in India, and we are excited about the growth it can drive for both of our businesses.”
About Algorhythm Holdings
Algorhythm Holdings, Inc. is a leading AI technology company focused on the growth and development of SemiCab, an emerging leader in the global logistics and distribution industry. Since 2020, SemiCab has enabled major retailers, brands and transportation providers to address common supply-chain problems globally. Its AI-enabled, cloud-based Collaborative Transportation Platform achieves the scalability required to predict and optimize millions of loads and hundreds of thousands of trucks. SemiCab uses real-time data from API-based load tendering and pre-built integrations with TMS and ELD partners to orchestrate collaboration across manufacturers, retailers, distributors, and their carriers. SemiCab uses AI/ML predictions and advanced predictive optimization models to enable fully loaded round trips. With SemiCab’s AI platform, shippers pay less and carriers make more without having to change a thing. For additional information, please go to: http://www.semicab.com
Investor Relations Contact
Brendan Hopkins
407-645-5295
investors@algoholdings.com
www.algoholdings.com
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statement that is not historical in nature is a forward-looking statement and may be identified by the use of words and phrases such as "expects," "anticipates," "believes," "will," "will likely result," "will continue," "plans to," "potential," "promising," and similar expressions. These statements are based on management's current expectations and beliefs and are subject to a number of risks, uncertainties and assumptions that could cause actual results to differ materially from those described in the forward-looking statements, including the risk factors described from time to time in Algorhythm’s reports to the SEC, including, without limitation Algorhythm’s Annual Report on Form 10-K for the year ended December 31, 2024. You should not place undue reliance on any forward-looking statement, each of which applies only as of the date of this press release. Except as required by law, we undertake no obligation to update or revise publicly any of the forward-looking statements after the date of this press release to conform our statements to actual results or changed expectations, or as a result of new information, future events or otherwise.
FAQ
What did Algorhythm (RIME) announce about SemiCab and Apollo Tyres on January 6, 2026?
How much annual revenue could SemiCab generate from the Apollo Tyres expansion for RIME?
When did SemiCab begin its commercial pilot with Apollo Tyres mentioned in the RIME announcement?
What technology does SemiCab use to serve Apollo Tyres under the RIME deal?
Which geographic markets does the Apollo Tyres expansion cover under RIME's announcement?
