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On Thu, 10 Oct, 4:02 PM UTC
3 Sources
[1]
OpenAI Chairman's Startup Raising Funds at Over $4 Billion Value
OpenAI Chairman Bret Taylor's Sierra is in talks to secure new funding at a $4 billion-plus valuation, a person familiar with the deal said, underscoring sustained investor interest in AI despite concerns about ballooning startup price tags. Sierra, co-founded last year with former Google executive Clay Bavor, is raising hundreds of millions of dollars in its latest round, the person said, asking to remain anonymous as the deal hasn't closed. That would more than triple Sierra's valuation from a January deal that made it a unicorn.
[2]
AI Startup Sierra To Raise $4 Billion in Funding
OpenAI chairman, Bret Taylor's AI startup is in talks to secure funding, valuing the company at $4 billion. AI startup Sierra reportedly seeks over $4 billion in funding, which would quadruple the company's valuation compared to its $1 billion deal earlier this year. Growth-stage Greenoaks Capital is likely to participate in the funding round. The California-based company, launched in 2023, was co-founded by Bret Taylor and Clay Bavor. Taylor co-created Google Maps and served as Facebook's CTO before becoming a chairperson of OpenAI. Bavor previously spent 18 years at Google, leading Google Labs, Project Starline and Google Lens. This funding signifies the start of high investment prices by various investment firms. They are willing to pay for shares in startup AI firms with less revenue, especially those founded by Silicon Valley veterans. Sierra is a conversational AI platform for businesses. It constitutes an AI "agent" for every company that can automate tasks, such as customer service and voice calls. The Sierra team considers trust, craftsmanship, and customer obsession their core values. The platform enables its customers to get answers, solve problems, and take action through a conversational experience. These AI agents use language processing and human-level reasoning to mimic human connectivity, ensuring seamless customer service and satisfaction. "The AI can thread together an entire conversation, remembering the context and relevance of past comments. This reduces customer effort greatly and creates a better experience," says Dharam Rai, the VP of customer services and Sonos. Meanwhile, John Elkins, Aloha Experience Supervisor at OluKai, expressed that with Sierra, they have reduced ticket volume expectations, allowing their team to concentrate on more complex cases with empathy and care. On October 9, 2024, Sierra announced that its AI agent can now speak to customers on the phone, "managing the back and forth of a live conversation" and providing "service-specific context it needs to speak the language of your company." With this funding round, Sierra is following in the footsteps of OpenAI, which recently acquired billions of dollars in funding. As customer support rises effectively as one of the most successful early use cases for conversational AI, Sierra is a strong beginner. However, it faces tough competition from big tech companies like Taylor's former organisation, Salesforce, OpenAI itself, and startups like Intercom, Decagon, and Maven AGI.
[3]
Bret Taylor's AI Agent Startup Nears Deal That Could Value It at Over $4 Billion
Sierra, an artificial intelligence startup co-founded by former Salesforce co-CEO Bret Taylor, is raising hundreds of millions of dollars in new funding led by growth-stage investor Greenoaks Capital, according to two people who have examined the deal. The new financing will at least triple the company's valuation, which was $1 billion in a funding round in January, one of the people said, adding they expected the valuation to surpass $4 billion. It's the latest sign of the high prices investment firms have been willing to pay for shares in young AI firms with little revenue, particularly those led by Silicon Valley veterans.
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Sierra, an AI startup co-founded by OpenAI Chairman Bret Taylor, is in talks to secure hundreds of millions in funding at a valuation exceeding $4 billion. This significant increase from its previous $1 billion valuation underscores the continued investor interest in AI startups.
Sierra, an artificial intelligence startup co-founded by OpenAI Chairman Bret Taylor and former Google executive Clay Bavor, is on the verge of a significant funding milestone. The company is in talks to secure hundreds of millions of dollars in new funding, potentially valuing it at over $4 billion 1. This valuation represents a remarkable increase from its $1 billion valuation in January, more than tripling its worth in less than a year 3.
Sierra positions itself as a conversational AI platform for businesses, offering AI "agents" that can automate tasks such as customer service and voice calls. The platform's AI can maintain context throughout conversations, significantly reducing customer effort and improving overall experience 2. On October 9, 2024, Sierra announced that its AI agent can now engage in live phone conversations with customers, demonstrating the rapid advancement of its technology [2].
The substantial funding round, reportedly led by growth-stage investor Greenoaks Capital, signifies the continued strong interest from investors in AI startups, particularly those founded by Silicon Valley veterans [3]. This trend persists despite concerns about inflated valuations in the AI sector. Sierra's funding success follows in the footsteps of other AI companies like OpenAI, which have also secured billions in funding recently [2].
Sierra's impressive growth is attributed in part to its high-profile co-founders. Bret Taylor, former Salesforce co-CEO and current OpenAI chairman, brings significant industry experience, having co-created Google Maps and served as Facebook's CTO [2]. Clay Bavor, with 18 years at Google leading innovative projects, complements the leadership team [2].
However, Sierra faces stiff competition in the AI market. Established tech giants like Salesforce and OpenAI, as well as other AI startups such as Intercom, Decagon, and Maven AGI, are all vying for dominance in the conversational AI space [2]. Despite this, Sierra's focus on customer support as a primary use case for conversational AI positions it strongly in the market.
This funding round for Sierra is indicative of a broader trend in the AI industry, where investors are willing to pay premium prices for shares in promising AI startups, even those with limited revenue [3]. The high valuation underscores the perceived potential of AI technologies, particularly in areas like customer service and business process automation.
As AI continues to evolve and find new applications in various industries, startups like Sierra are likely to play a crucial role in shaping the future of business operations and customer interactions. The success of such funding rounds may encourage further investment in the AI sector, potentially accelerating the development and adoption of AI technologies across different domains.
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Sierra, an AI startup co-founded by former Salesforce co-CEO Bret Taylor, has raised $175 million in a new funding round, achieving a $4.5 billion valuation. The company specializes in AI-powered customer service chatbots for enterprises.
11 Sources
OpenAI is exploring a radical corporate restructuring that could potentially value the company at $150 billion. This move aims to address employee compensation issues and align with the company's mission, but faces significant legal and practical challenges.
10 Sources
OpenAI, the artificial intelligence company behind ChatGPT, is reportedly in discussions for a new funding round that could value the company at $150 billion. This move comes as the AI race intensifies and development costs soar.
19 Sources
OpenAI, the creator of ChatGPT, is reportedly in discussions for a new funding round that could value the company at more than $100 billion. This development marks a significant milestone in the AI industry and could reshape the tech landscape.
17 Sources
OpenAI, the company behind ChatGPT, is reportedly in talks for a share sale that could value it at $80-$90 billion. Investors are betting on the potential of AI to revolutionize various industries, despite concerns about profitability and competition.
2 Sources
