PALO ALTO — Parallel Web Systems has raised $100 million in Series A funding at a $740 million valuation to build the web for its second user: AIs. The round was co-led by Kleiner Perkins and Index Ventures, with participation from Spark Capital and support from existing investors Khosla Ventures, First Round Capital, and Terrain. Mamoon Hamid of Kleiner Perkins joins Vinod Khosla, Shardul Shah and Josh Kopelman on the board.
Parallel Web was founded by Parag Agrawal, who was the former CEO and CTO of Twitter before Elon Musk purchased the company and renamed it X.
The company says it offers two types of products:
- Web Tools built as primitives for search, extraction, and retrieval for agents to use.
- Web Agents built for structured enrichment, deep research, and workflow automation.
Search for agents differs fundamentally from search for humans. Instead of just keyword queries, AIs can ask declarative queries. Instead of ranking URLs that humans might click, we’re identifying the optimal tokens from the web to place in an agent’s context window. Instead of being limited to a few hundred milliseconds and a limited amount of compute, we can choose to flexibly allocate computation and time in order to improve outputs.
Parallel Web has built the only web APIs that are optimized to be used as tools within AI agents, and they are used at scale including by its own search agents. Building this product is only possible through innovations across crawling, indexing, retrieval and ranking – each purpose-built for AIs as the primary user.
