Thomvest Ventures leads the round with significant participation from M12; the privacy and security platform expects to double ARR in 2024
SAN FRANCISCO, Oct. 10, 2024 /PRNewswire/ — Relyance AI, the leading AI-powered data governance platform that provides complete visibility and control over enterprise-wide data, today announced a $32.1 million Series B funding round to scale operations and meet the needs of the exploding use of artificial intelligence in the enterprise. Thomvest Ventures led the round. M12, Microsoft Ventures Fund, also participated in addition to Cheyenne Ventures and existing investors Menlo Ventures and Unusual Ventures.
As demand for AI surges in the enterprise, global regulators are mandating data protection safeguards that companies find impossible to implement. At the same time, legal, security, and engineering teams are grappling with endless questions about how customer data is being used to train AI models. The impact? Executives are stifled by their inability to realize AI’s innovation potential, and according to KPMG, more than two-thirds (76%) of enterprises are worried about data privacy and security when they partner with third parties. The result could be catastrophic: more than a quarter of the Fortune 500 identified AI regulation as a risk in annual reports to the SEC, and many continue to struggle with established data privacy regulations such as GDPR, which led to a record €2.1 billion in fines in 2023.
This has become a business-critical problem for all enterprises that was impossible to solve before Relyance AI’s fully integrated governance platform. Until now, privacy and security have been seen as separate challenges, with one woefully unaware of the other. Privacy teams didn’t know if their commitments to regulations and customers were being met, and security teams didn’t know what data should be in AI models. Relyance AI marries the two into one joint solution, which is the only way to enable innovation while ensuring compliance in a rapidly evolving regulatory landscape.
“The era of accepting subpar privacy, DSPM, and AI governance solutions is over. Relyance AI sets a new standard where data protection and innovation are not mutually exclusive,” said Abhi Sharma, CEO and co-founder of Relyance AI. “It’s impossible to keep up with the current state of regulations, especially when GDPR, HIPAA, the EU’s AI Act, and a mosaic of local U.S. privacy laws are all different and sometimes at odds. We’re making it possible to demystify this and embolden the C-suite, engineers, and legal teams to urgently green-light AI in the enterprise with an integrated governance approach.”
Relyance AI safeguards businesses from fines and reputation damage while boosting customer trust to accelerate business growth. The platform provides complete visibility into enterprise-wide data processing and compares it against contractual commitments, global privacy regulations, and compliance frameworks. The company has scaled significantly to meet recent demand for these capabilities. In the first half alone, Relyance AI increased its enterprise customer base by 30%, and the company is projected to double its annual recurring revenue in 2024. Its client list now includes Coinbase, Fivetran, Verkada, Snowflake, Logitech, Plaid, and Notion.
“We’re thrilled to lead the investment in Relyance AI, a unique, automated data governance platform that addresses the urgent need for real-time data visibility and compliance in a world of explosive data growth and emerging regulations,” said Umesh Padval, Managing Director, Thomvest Ventures. “Relyance AI empowers Chief Privacy, Security, and Information Officers to manage data privacy and compliance, avoiding costly penalties while driving safe and responsible AI adoption. We are excited to partner with CEO Abhi Sharma and his team, who have built a solution that transforms compliance into a competitive advantage, enabling businesses to scale AI with trust and transparency.”
“The future of AI governance isn’t about compliance alone – it’s about building trust, transparency, and accountability into every layer of your technology,” said Todd Graham, Managing Partner at M12. “Relyance AI is the catalyst for that transformation, paving the way for AI implementation that is both compliant and incredibly fast.”
“With Relyance AI, we established enhanced visibility of data processing activities, seeing an impressive increase of 1,660% within three weeks of deployment,” said Deborah Usry, Senior Privacy and Product Counsel at NextRoll. “What used to be a time-consuming manual process is now an automated task that produces a robust record of our processing activities.”
The funding will further develop Relyance AI’s platform and scale its go-to-market efforts in response to significant recent momentum. Learn more here.
About Relyance AI
Relyance AI is the new standard for organizations trust and data governance infrastructure. Relyance AI is the only platform providing real-time visibility into how and where data is being used compared to customer agreements, global privacy regulations, and compliance frameworks. Companies of all industries and sizes – including Coinbase, Snowflake, Logitech, Plaid, Notion, and more – trust Relyance AI to safeguard businesses from fines and reputational damage and to deliver the most complete customer trust experiences.
SOURCE Relyance AI