Conversational AI Platform Gupshup Acquires Cloud Communications Startup Knowlarity
Enterprise conversational AI developer Gupshup has acquired Indian cloud communications startup Knowlarity Communications for an undisclosed amount. Gupshup plans to augment its chatbots and AI messaging services with Knowlarity’s voice-based AI tools for call centers and customer service.
Gupshup coordinates billions of text messages and digital conversations every month for more than 100,000 businesses and developers through its API. The chatbots and messaging services operate on 30 channels, from mobile services to web-based platforms, including its proprietary Gupshup IP (GIP) messaging channel. Gupshup, which means chit-chat or gossip in Hindi, was founded in India as well, although it moved its headquarters to San Francisco last year. Knowlarity offers a range of cloud communications and voice AI services to clients in 65 countries. The mix of customer service providers and call centers deploy Knowlarity’s voice assistants, then analyze the interactions for ways to improve the AI’s performance. The startup has grown rapidly, reporting a 50% rise in revenue over the previous year. Gupshup plans to enfold Knowlarity’s technology and onboard its clientele, giving it voice AI to go with its text-based products.
“As business-to-consumer engagement becomes conversational, Gupshup is busy enabling more ways for businesses to deliver rich experiences. With the addition of Knowlarity’s products, businesses will now be able to build seamless conversational experiences across both messaging and voice channels,” said Beerud Sheth, co-founder and CEO, Gupshup. “Knowlarity is the clear market leader in voice – their comprehensive product suite spanning cloud telephony and contact center automation, along with excellent customer traction will further enhance Gupshup’s leadership position. I’m excited to welcome the Knowlarity team to the Gupshup family.”
Gupshup didn’t share the price for acquiring Knowlarity, but it is likely immaterial after raising $340 million in two funding rounds last year and hitting a $1.4 billion valuation. Knowlarity marks the second acquisition for Gupshup in recent months after acquiring communications platform Dotgo in November. The streamlined and relatively low-cost chatbot creation and management system pitched by Gupshup has drawn a lot of interest as demand for conversational AI in contact centers has soared. The COVID-19 pandemic led to a boom in calls and reduced human staffing. Investors are eager to put money into companies with the technology to help, like the $70 million raised by Kore.ai, the $78.15 million raised by Yellow, Rasa’s $26 million round.
“We at Knowlarity are excited to be a part of Gupshup. This will lead to richer experiences for our existing and future customers along with product enrichment and significant geographic expansion opportunities,” Knowlarity CEO Yatish Mehrotra said. “Our customer-centric, innovation-focused cultures are perfectly aligned and we see significant synergies and new products emerging from the combination of two great teams.”