By Reuters Staff
2 Min Read
(Reuters) – Scale AI said on Tuesday it had raised $325 million in fresh funding, doubling its valuation to $7 billion in just over four months, as the artificial intelligence (AI) firm plans to increase hiring and expand its product offerings.
Investment firms Dragoneer, Greenoaks Capital and Tiger Global co-led the Series E funding round, which included new investors Wellington Management and Durable Capital. Existing shareholders Coatue, Index, Founders Fund and YC also took part.
Scale, which counts the U.S. Department of Defense and the U.S. Air Force among its customers, raised $155 million at a $3.5 billion valuation in December.
The company uses AI to improve the accuracy of documents processing, categorize products and make logistics paperwork easier to execute.
“We’re still just scratching the surface of the potential that AI has to transform every business and industry,” Scale Chief Executive Officer Alexandr Wang wrote bit.ly/3dheTuS in a blog.
Major companies including PayPal Holdings Inc, Square Inc, Etsy Inc, General Motors Co and Pinterest Inc also use Scale’s services.
“The AI industry is at an inflection point where every business is looking to implement an AI strategy and we are starting to see a real-world impact,” Neil Mehta, founder of Greenoaks Capital, said in a statement.
Scale also said former Amazon.com Inc executive Jeff Wilke would join as an adviser to its CEO.
Reporting by Praveen Paramasivam in Bengaluru; Editing by Devika Syamnath