Startup Helps Businesses Find Talent as Concerns Over Worker Shortage Raise
The latest business funding round brings the total funding raised by the human resources (HR) startup company to more than $410 million. Eightfold said it plans to use the new proceeds to continue investing in the business growth and development of its AI tool, “Talent Intelligence Platform.” The HR startup company will also explore new business partnerships.
"Current HR systems were designed to address issues from a previous era, and they have failed to keep pace with the changing nature of work and the workforce. At Eightfold, we have an unprecedented opportunity, using AI to align the career goals of individuals while simultaneously creating better results for employers," said Ashutosh Garg, founder and CEO at Eightfold.
The current recruitment system is lagging behind the rapid pace of innovation required to support future-ready companies. It appears that the only method to catch up is to build a deep understanding of all available talent, exactly what Eightfold’s AI platform does.
It comes as no surprise the fact that SoftBank led the business funding round for the recruitment startup company. The Japanese tech business giant is known for making investments into fast-growing markets.
"Transforming HR and global talent further unlocks trillions of dollars worth of human potential. SoftBank shares our bold vision, and we are excited to welcome them as our partner,” Garg added.
The working environment continues to change, prompting companies to prepare for the future. Companies’ demand for customized reskilling and upskilling programs continues to rise. With this demand presenting to be one of the largest issues the HR sector is facing nowadays, the California-based HR startup company appears capable of addressing such challenges.
According to data by the Bureau of Labor Statistics, the number of job openings hit a new record high at the end of April. Companies hired 6.1 million employees in April, slightly higher than 6 million hired in March, according to the monthly Job Openings and Labor Turnover Survey (JOLTS). On the other hand, the rate of employees abandoning jobs also hit a new record high in April, while layoffs declined to a series low.
Prior to the Series E business funding round, the AI recruitment startup raised funds in October 2020. Since then, the business valuation has more than doubled, underscoring the momentum gained by customers and partners in the public and private sectors.
"Powered by AI and machine learning, Eightfold's platform provides global enterprises with a single solution for managing the entire talent lifecycle, including hiring, retaining, and growing a diverse global workforce," said Senior Managing Partner at SoftBank Investment Advisers, Deep Nishar.
Startup Savant News reported that recruitment startup company Personio raised $125 million in fresh capital at a market valuation of $1.7 billion.
AI recruitment startup company Eightfold announced it raised $220 million in fresh capital. The business funding round was led by SoftBank Vision Fund II, taking the company’s total funding raised to over $410 million. The AI startup company said it plans to use the new capital to continue investing in growth and the development of its Talent Intelligence Platform.
About the Author
Mariliana has an MSC in Consumer Analytics and Business Strategy. She has a special interest in fast-moving industries and Big Data.