AI company Gradient Labs successfully secures 11 million euros in funding within a week, showcasing their compelling pitch deck
London-based AI startup, Gradient Labs, has announced the successful completion of a $13 million Series A funding round within a week. The funding round was led by Silicon Valley investor Redpoint Ventures, with participation from LocalGlobe, Puzzle Ventures, Liquid 2 Ventures, and Exceptional Capital.
Founded in 2023 by Dimitri Masin, Neal Lathia, and Danai Antoniou, all early employees of Monzo, Gradient Labs specialises in automating customer service in heavily regulated industries such as finance and insurance. The company's flagship product, "Otto," is an AI agent designed to automate complex customer queries in these sectors.
Otto is engineered to learn company-specific processes and products, resolving up to 80-90% of customer queries with a quality assurance pass rate around 98%. As a result, Gradient Labs has significantly reduced costs by 75% for its clients, which include one of Europe’s largest banks.
The company achieved $1 million in annual recurring revenue within four months and secured nine customers shortly after launch. Gradient Labs' rapid growth can be attributed to its focus on providing specific, measurable AI solutions for regulated markets, rather than broad AI hype.
The funds raised in the Series A round will be used to expand Gradient Labs' teams in technology, marketing, sales, onboarding, and customer success. The company also plans to strengthen its research and development efforts to maintain its technological lead in AI-driven customer service solutions.
Prior to the funding round, the founders had been building relationships with potential investors for months. The founders' deep expertise from their time at Monzo played a significant role in attracting quick and decisive investor interest.
So far, around $17 million (€14.7 million) has been invested in Gradient Labs, with a previous seed round of $3.6 million (€3.1 million) invested in the company.
With the new funding, Gradient Labs is poised to revolutionise customer support and back-office processes in regulated industries, offering a more efficient, cost-effective, and high-quality service to its clients.
[1] Gradient Labs
[2] Redpoint Ventures
[3] LocalGlobe
[4] Puzzle Ventures
[5] Liquid 2 Ventures
[6] Exceptional Capital
- Neal Lathia, Danai Antoniou, and Dimitri Masin, founders of Gradient Labs, were able to secure $13 million in funding from investors such as Redpoint Ventures, LocalGlobe, Puzzle Ventures, Liquid 2 Ventures, and Exceptional Capital, due to their deep expertise from their time at Monzo.
- As the technology sector continues to evolve, Gradient Labs' flagship product, "Otto," an AI agent designed to automate complex customer queries in heavily regulated industries like finance, is set to revolutionize customer support and back-office processes, offering a more efficient, cost-effective, and high-quality service to its clients.
- With the funding secured, Gradient Labs plans to expand its teams in technology, marketing, sales, onboarding, and customer success, and strengthen its research and development efforts to maintain its technological lead in AI-driven customer service solutions, furthering its reach in the world of investing and business.
