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AI Startup Writer Nabs A $1.9 Billion Valuation To Become A Super App For Enterprises

Nov 12, 2024 - forbes.com
Enterprise AI startup Writer has raised $200 million in a Series C funding round co-led by Radical Ventures, Iconiq Capital, and Premji Invest. The company, founded in 2020, is now valued at $1.9 billion and expects to record about $50 million in annual recurring revenue by the end of this year. Writer uses its proprietary large language models, Palmyra, to help companies with tasks like creating blogs, analyzing documents, and ensuring compliance. The company is now planning to build AI agents that can autonomously carry out actions.

To compete with other AI companies, Writer has been releasing new models and reducing its costs. In July, it launched Palmyra-Fin and Palmyra-Med for financial and medical use cases, and in October, it launched a model trained using synthetic data. The company's decision to build bespoke applications for its customers, what it calls "AI workflows," has helped it achieve a strong product-market fit. CEO May Habib envisions Writer becoming a "super app" that can interact with different applications and increase worker productivity.

Key takeaways:

  • Writer, an Enterprise AI startup, has raised $200 million in a Series C funding round co-led by Radical Ventures, Iconiq Capital, and Premji Invest.
  • The company, founded in 2020, is now valued at $1.9 billion and expects to record about $50 million in annual recurring revenue by the end of this year from more than 300 customers.
  • Writer's AI platform is built on top of its family of proprietary large language models called Palmyra, which are used across departments for tasks like building applications, analyzing documents, and ensuring companies stay compliant.
  • The company is planning to build AI agents, software that can access external tools and autonomously carry out actions, and hopes to become a 'super app' that can interact with different applications all by itself, making workers more productive.
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