FOSTER CITY — Conversica, Inc., a developer of conversational artificial intelligence (AI) software for business, has secured a $31 million Series C funding round. Conversica says this is the largest Series C investment to date in a conversational AI company.
The Series C was led by existing investor Providence Strategic Growth Capital Partners L.L.C. (PSG), an affiliate of Providence Equity Partners, with participation from other existing investors Toba Capital and Kennet Partners and from new investors CIBC Innovation Banking and Savano Capital Partners. This funding round brings the total invested capital in Conversica to $87 million, including $34 million raised in a Series B round and $22 million in Series A rounds. Investment proceeds will be used to fund global sales and marketing expansion, as well as to continue development of Conversica’s award-winning technology, which was recently granted a U.S. patent for an AI-powered system that automatically carries on conversations.
Conversica uses conversational AI technologies to power intelligent assistants that automate routine, yet important, business conversations. The company’s flagship AI Sales Assistant engages marketing leads in human-like conversations to qualify more of them for sales, freeing humans to spend more time closing business. Additional assistants work in higher education to follow up with prospective students, in the automotive industry to engage customers throughout their lifecycle, and in customer success organizations to boost satisfaction and retention, allowing employees to focus on the highest-impact tasks.
“Conversica continues to define what it means to deliver breakthrough customer success and business growth in the conversational AI category,” observed Conversica CEO Alex Terry. “Our market traction and performance are why our current investors have doubled down on Conversica with this Series C funding round, a resounding endorsement of the hard work of hundreds of Conversica employees serving over a thousand of customers around the world. I believe even more strongly today in the power of AI to deliver an improved customer experience and to free humans from the routine work that limits us reaching our full potential. I’m thrilled that our investors share this same vision and have reaffirmed their commitment to the company’s success.”
Conversica is one of the very few conversational AI companies with the track record of success necessary to achieve a Series C funding round. The company’s AI assistants have touched more than 70 million people, equivalent to a quarter of the adult U.S. population. Having created and defined the conversational AI category eight years ago, Conversica is distinguished by its innovative natural language understanding and natural language generation technology; its extensive conversational data set and deep data science expertise; its domain expertise in process automation and integration; and its diverse global customer base of more than 1,000 forward-acting organizations, including Box, Chrysler, Snowflake Computing, CenturyLink, the Sacramento Kings and Oracle.