Interactions, a US-based provider of speech and natural language technology for the customer service industry, closed a $56m funding round yesterday featuring mass media company Comcast.
The round also included private equity fund NewSpring Growth Capital, which invested $20m; Revolution Growth, the growth equity fund managed by investment firm Revolution; and undisclosed other backers. Comcast participated through its Comcast Ventures unit.
Interactions supplies virtual assistant and speech and language technology that helps businesses with their customer care, enabling them in theory to conduct more complex transactions without human staff.
Mike Iacobucci, chief executive of Interactions, said: “Interactions is experiencing widespread, growing demand for its speech and natural language offerings.
“In order to meet this demand, we are making strategic investments to advance our core artificial intelligence technology, further global expansion efforts and strengthen the company’s marketing and sales efforts.”
Founded in 2004, Interactions raised about $42m from investors including North Hill Ventures, a subsidiary of financial services firm Capital One, as well as Updata Partners and Sigma Partners, through 2010, according to regulatory filings.
North Hill, Sigma Partners, Updata Partners and Cross Atlantic Capital Partners invested another $12m in 2011 before SoftBank Capital, telecom firm SoftBank’s corporate venturing unit, led a $40m round in 2013 that included North Hill, Sigma, Updata, Cross Atlantic and RED LLC.
Andrew Cleland, managing director of Comcast Ventures, said yesterday: “Customer care is increasingly becoming a point of competitive differentiation, rather than a cost of doing business.
“Through Interactions exclusive combination of automated natural language understanding, AI and human assisted understanding, the company surpasses its rivals and demonstrates unparalleled consumer understanding.”