YC-backed Recall.ai Gets $10M Series A to Help Companies Use Virtual Meeting Data | TechCrunch

Illustration of Faces on Video Conference Call Screen

More money for the generative AI boom: Y Combinator-backed developer infrastructure startup Recall.ai announced Thursday that it has raised a $10 million Series A funding round, bringing its total raised to more than $12 million.

The startup has built an infrastructure and a unified API that allows companies to access raw data from virtual meeting platforms like Google Meet, Microsoft Teams, Slack Huddles, Zoom, and even platforms without an API. With the video and audio data, users can build AI-powered meeting bots or apps, such as sales coaching, meeting note takers, or daily stand-up bots.

Recall.ai said the new capital will be used to grow the team and build integrations with more data sources. The two-year-old startup currently has nine employees and expects to expand the team to more than 16 employees by the end of this year, David Gu, co-founder and CEO, told TechCrunch.

Amanda Zhu, co-founder of Gu and Recall.ai, both attended the University of Waterloo before dropping out to build the startup. “I studied software engineering, while my co-founder studied computer science and business,” Gu said. “We left Waterloo when we were 19 years old to start a business together. I did Y Combinator when I was 19.”

The duo previously worked on a real-time transcription tool for video conferencing and had experience building integrations with video conferencing platforms and their infrastructure.

They launched Recall.ai in 2022 with the aim of responding to two crucial trends – a shift to remote working worldwide and the boom in generative AI – after seeing other companies facing the same problem around integrating AI tools.

“Companies are increasingly looking for ways to incorporate AI into their product offerings, and conversations are a huge data set where applying AI makes a lot of sense,” Gu suggested. “In 2022, a growing number of companies began building products that leverage LLMs [large language models] to process video conference data. However, these companies all encountered the same integration and infrastructure hurdles that we had encountered and resolved.”

“It takes a year or more of engineering time to build the infrastructure and integrations in-house in their most basic form,” he continued. “Once it’s built, companies face a bigger challenge: Hosting the infrastructure requires hundreds to thousands of servers to handle the processing and a team of engineers to monitor, scale and maintain it all .”

Companies that use Recall’s API and infrastructure don’t have to build out this infrastructure themselves, meaning they can quickly and cost-effectively deploy new AI-powered products and features, Gu explains, comparing it to how companies can leverage from cloud computing infrastructure like AWS to scale their web apps. Recall.ai aims to provide the common infrastructure for any company that needs to access AI and apply it to conversations, he added.

“Recall.ai provides the infrastructure layer that many of these companies build on top of, similar to the way these companies use AWS,” he suggested. “We have no competitors because there are no other companies offering the same service: a developer infrastructure for capturing and processing meeting data.”

Recall.ai co-founders: Amanda Zhu and David Gu
Image credits: Recall.ai

On the regulatory front, Recall.ai says it complies with SOC2, GDPR, CCPA and HIPAA and has no military or government contracts. Audio and video recordings are kept for up to seven days, after which they are automatically deleted.

“We also provide an API endpoint that allows users to immediately delete the data at any time if they want to minimize the duration for which we store the data,” Gu said.

The startup earns revenue by charging per hour for audio and video processed through its APIs. In less than two years, Recall.ai’s annual revenue has grown from zero to several million dollars, Gu noted, saying it now has more than 300 enterprise customers that add up to “millions” of users.

Over the past twelve months, the company has seen tenfold revenue growth, he also told us.

Ridge Ventures led the Series A together with Industry Ventures, Y Combinator, IrregEx, Bungalow Capital, Hack VC and other existing investors.

Leave a Reply

Your email address will not be published. Required fields are marked *