Rapidly Growing AI Startup
The Series D was headed by Glynn Capital, along with the participation from General Catalyst, Tomales Bay Capital, Jericho Capital, and Bain & Company, and other undisclosed backers. The startup has raised $121 million in total business funding to date.
The startup company, founded in 2017 as a result of a pivot from founder Kevin Guo’s previous Q&A platform Kiwi, has started to attract interest from famous clients, including Reddit, Chatroulette, Omegle, Walmart, Visa, Tango, and more.
“At the heart of what we’re doing is building AI models that can help automate work that used to be manual. We’ve heard about RPA and other workflow automation, and that is important too but what that has also established is that there are certain things that humans should not have to do that is very structural, but those systems can’t actually address a lot of other work that is unstructured,” said Kevin Guo, co-founder, and CEO of the enterprise solutions startup.
Hive currently has about 100 customers and has seen 300% growth in the past year. Although the AI business started operating with image identification services and helped companies build AI systems, today, the startup is mostly focused on moderation that includes images, text, and streamed audio.
Guo says that Hive has been accumulating data by crowdsourcing feedback from around 2 million users who get paid to look through multiple images and items of texts to look for online abuse or similar.
At the same time, this database fuels a series of APIs by the company’s business customers and helps them operate their own moderation solutions or other workflows. The majority of the system’s language AI learning abilities revolve around English at the moment, as well as Spanish and French.
The AI company said it will use a part of the new business proceeds to increase its reach and global coverage and support more languages. This will also help increase the number of use cases for Hive’s technology and data.
One of these use cases is a new advertising approach that is based on showing ads related to what business customers have just seen on the screen. One of the factors that helped Hive attract investors’ interest is the potential of its AI technology and how it can be used in the future.
“Cloud computing has seen tremendous adoption in recent years, but only a small fraction of companies currently leverage cloud-based machine learning solutions. We believe cloud-hosted machine learning models will represent one of the most significant components of cloud growth in the years to come, and Hive is well-positioned as an early leader in the space,” said Charlie Friedland, principal at Glynn Capital.
Enterprise AI solutions provider Hive has secured $85 million in the new funding round from Glynn Capital, hitting a post-money valuation of $2 billion. The company has raised a total of $121 million in private funding so far.
About the Author
Avi Ben Ezra is the Chief Technology Officer (CTO) and Cofounder of SnatchBot and SnatchApp (Snatch Group Limited). He leads the Group’s long-term technology vision and is responsible for running all facets of the tech business which includes being the architect of the platforms and UI interfaces.