Vertice, a burgeoning startup based in London, has successfully raised $100 million in funding to further its mission to optimize software and cloud expenditure through artificial intelligence. The company, which has seen exponential growth since its inception less than three years ago, now serves a diverse clientele across Europe, the U.S., and the Asia Pacific region. This latest funding round, a Series C led by Lakestar with participation from Perpetual Growth, CF Private Equity, and previous investors Bessemer Venture Partners and 83North, positions Vertice at a valuation significantly higher than the “several hundred millions” of the previous year.
Founded by Roy and Eldar Tuvey, who previously established and sold security startups ScanSafe and Wandera for substantial sums, Vertice has rapidly scaled its operations. The company reports a remarkable 13-fold increase in business growth. Vertice's platform leverages artificial intelligence to integrate seamlessly with businesses' data systems, offering insights that optimize procurement processes, reduce cycle times, and yield savings of 20% to 30%.
“We ingest all the contract information through AI,” – Roy Tuvey
Vertice boasts an impressive portfolio of benchmarking data on over 16,000 software vendors. This data repository empowers the company's platform to provide precise recommendations on software and cloud purchases that align with a business's operational needs. According to Roy Tuvey, this capability is crucial for identifying inefficiencies within procurement processes.
“We surface benchmark pricing insights and analytics that they need at the point of purchase. AI is really interesting when it comes to procurement orchestration, because you can learn where the company has bottlenecks in their processes.” – Roy Tuvey
The startup has ingested data on approximately $3.4 billion worth of SaaS and cloud spending. Such extensive data collection enables Vertice to build comprehensive profiles of customer spending patterns, which in turn facilitates informed purchasing decisions. The platform's AI-driven insights help businesses streamline processes that are traditionally time-consuming.
“For example, if a company is always spending long time with certain steps, for example to check pricing but also security compliance, and we can see how to run them in parallel and save time,” – Roy Tuvey
The AI capabilities are particularly valuable as companies navigate increasingly complex software ecosystems. Vertice's platform can anticipate what businesses might need or want to purchase next based on their existing software suite.
“And you can just imagine the more and more app ads you have, the AI can learn and make recommendations.” – Roy Tuvey
Vertice serves hundreds of clients globally, including prominent names such as ASML, Euronext, Grant Thornton, and Santander. These partnerships underscore Vertice's ability to deliver substantial value across diverse industries by optimizing software and cloud spend management.
The significance of Vertice's recent funding cannot be overstated. It marks a pivotal moment for the company as it continues to expand its client base and enhance its platform capabilities. With the additional capital, Vertice aims to accelerate product development and market outreach efforts, reinforcing its position as a leader in AI-driven expense management.
The founders' track record of successful exits undoubtedly contributes to investor confidence in Vertice's potential. Their previous ventures, ScanSafe and Wandera, were acquired by Cisco and Jamf for $200 million and $400 million respectively. This history of successful exits suggests a promising trajectory for Vertice as it continues to innovate in the SaaS and cloud spend management sector.
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