Largest-ever Series C funding for Contact Center AI helps Observe.AI cement its leadership position and propel continued industry-leading growth
BENGALURU/ SAN FRANCISCO: Observe.AI, an Intelligent Workforce Platform that transforms contact centers through AI, today announced it has raised $125M in Series C funding led by SoftBank Vision Fund 2 with participation from Zoom.
The round also includes participation from Observe.AI’s existing investors such as Menlo Ventures, Scale Venture Partners, and Nexus Venture Partners, bringing the company’s total funding to date to $213M.
Solving the Customer Experience Paradox for the $400 Billion Contact Center Market
This new funding highlights increased confidence in Observe.AI’s market position at a critical moment for the contact center industry, in which consumer expectations and technology investments are at an all-time high, yet brands struggle to improve customer experience and business outcomes. While $24 billion has been poured into technology investments, contact centers remain woefully in the dark when it comes to customer conversations. At most, typical contact centers have just 3% visibility into these interactions, leaving their customer-facing teams with no option but to work reactively and inconsistently – and leading to an estimated $75 billion per year in lost revenue.
Observe.AI’s Intelligent Workforce Platform transforms how contact centers operate as AI-empowered systems of intelligence, with full conversation visibility, business-improving insights, and machine-driven workflows. By surfacing intelligence from every customer interaction, Observe.AI acts as a force multiplier, boosting performance of customer-facing teams and automating repeatable processes that exceed business goals. The net effect is stellar customer experiences, top performing teams, and unprecedented business results.
This latest investment will fuel development of the next generation of Observe.AI’s product innovations – including expansion into harmonizing real-time with post-interaction agent coaching – scale the company’s go-to-market motion and drive continued geographical expansion into international markets, and accelerate its timeframe to IPO readiness.
“Observe.AI has a transformative vision to deliver actionable and trustworthy AI that empowers digital-first businesses to create exceptional customer experiences,” said Priya Saiprasad, Partner at SoftBank Investment Advisers. “We believe the company has built an intelligent, flexible platform with endless use cases, from healthcare companies seeking to enhance patient experience through to financial institutions aiming to boost revenue. We are thrilled to partner with Swapnil and the team to help them accelerate a paradigm shift within the contact center industry.”
Observe.AI’s Continuous Momentum Build, Growth Trajectory, and Milestones
The last two years have been packed with milestones and continued record growth for Observe.AI. In September 2020, the company raised $54M in a Series B Funding round led by Menlo Ventures, with participation from Next47 Ventures and NGP Capital. On the heels of announcing 300% year-over-year revenue growth, Observe.AI made its entry into the omnichannel market with its acquisition of Scope.AI in August 2021.
In March 2022, Observe.AI announced continued record growth for its fiscal year, including nearly 150% increased ARR and increased customer base of $100K or more by 125% year-over-year. This propelled a substantial uptick in usage of the Observe.AI platform, including 3X increase in volume of customer interactions analyzed with its AI engine, 426% increase in AI-powered agent evaluations, and 201% increase in AI-powered agent coaching sessions.
Swapnil Jain, Co-Founder and CEO of Observe.AI, said:
“Observe.AI has risen to meet this unprecedented crossroads for the contact center industry, in which a massive market is undergoing once-in-a-generation transformation and investment in the right technologies will make or break business outcomes. This fresh round of funding is further validation that Observe.AI is uniquely positioned with our industry-leading product innovations and offerings, robust services expertise and partner ecosystem, and intimate understanding of and execution on the evolving needs at the intersection of AI and CX. We not only lead this category in tangible business metrics, but in our forward-thinking approach to developing empowering, trustworthy, and actionable AI that drives value expressly for contact centers.”