The demand for conversational AI, primarily in the form of chatbots, has never been higher. This surge in popularity is largely attributed to the hype surrounding systems like OpenAI’s ChatGPT. As a result, the market for tools used to build conversational AI experiences is witnessing significant growth.
Market Growth and Predictions
According to Gartner, it is predicted that by 2026, one in ten agent-customer exchanges will be automated, representing an increase from the estimated 1.6% of chats handed off to chatbots in 2022. This substantial growth has led to an increase in investment in the development of conversational AI tools.
The Market Size and Future Expectations
Future Market Insights expects the market for these tools to be worth $47.6 billion by 2033, up from $9.6 billion in 2023. This projection suggests a significant growth trajectory for the industry.
Voiceflow Raises $15 Million in Funding Round
To capitalize on this trend, Voiceflow, a platform for creating conversational AI experiences, has announced that it raised $15 million in a funding round led by VC firm OpenView. The founder and CEO, Braden Ream, stated that the investment will enable Voiceflow to "amplify its commitment to product innovation."
Product Innovation with LLM-Powered AI Builder
Ream explained that the company plans to introduce an LLM-powered AI builder, which will allow customers to build and deploy large language model-powered agents for customer support and other use cases. This innovative feature is expected to enhance the capabilities of Voiceflow’s platform.
The Vision Behind Voiceflow
Voiceflow was co-founded by Ream, along with Tyler Han, Michael Hood, and Andrew Lawrence in 2019. Initially, the team aimed to create a tool for building conversational agents for automating customer service use cases. Today, Voiceflow is focused on customer support automation for websites and in-app assistants.
Collaborative Design Platform
Ream described Voiceflow as a "Figma-quality" collaborative design platform for building AI agents. With Voiceflow, teams can deploy agents powered by large language models, including OpenAI’s GPT-4. The platform allows for integration with any existing natural language understanding platform or technology stack.
Key Features of Voiceflow
Some key features of Voiceflow include:
- Integration with any existing NLU platform or technology stack: This enables teams to supercharge their design and collaboration capabilities without costly vendor replacements or technology changes.
- Use of large language models: Voiceflow allows enterprise customers to use any large language model, including their own, as well as popular models via APIs.
- Collaborative environment: The platform provides a safe, controlled environment for nontechnical and technical stakeholders to work together.
Rivals in the Market
Voiceflow has competitors in the market, including Google-owned Dialogflow, IBM Watson, AWS Lex, and Microsoft Bot Framework. Additionally, startups like Quiq, Yellow Messenger, Rasa, and Level AI have collectively raised over $100 million in capital to date.
Customer Base and Growth
Despite the competition, Voiceflow has a notable customer base and is witnessing significant growth. The company’s innovative approach and commitment to product innovation are expected to contribute to its continued success.