Quantum Rise, a Chicago-based startup that does AI-driven automation for companies like dunnhumby (a retail analytics platform for the grocery industry), has raised a $15 million seed round from Erie Street Growth Partners. The company's approach is similar to that of UIPath, which is known for bringing robotic process automation to businesses, but it takes a broader view of the AI hurdles companies face and focuses on providing more “hands-on” assistance.
Quantum Rise brings AI to companies based on a so-called “consulting 2.0” model, automating workflows, roadmaps and customized AI solutions to accelerate the overall business. The startup is the second launch from Alex Kelleher, former founder of adtech platform Cognitive Match, which was acquired by Magnetic in 2014.
To give some perspective on the potential market opportunity for AI-driven automation, consulting giant BCG expects to generate a fifth of its revenue from helping companies integrate AI in 2024, and 40% by 2026. Meanwhile, IBM has secured more than $1 billion in generative AI-related revenue commitments. This suggests there's room for nimble startups to enter the space, and that's exactly what Kelleher is betting on with Quantum Rise.
He believes the opportunity now is to blend human and machine intelligence.
“The whole consulting industry is collapsing because it's built on people's time and it's not automated,” Kelleher told TechCrunch. “We bring advanced engineering to the space. There are a lot of CEOs of $300 million companies who don't know where to start. They can't afford to hire a big firm like Deloitte. That's where we come in. They're hoping someone will come in and automate their company and make it happen.”
Terry Graunke, chairman and CEO of Erie Street Growth Partners, added in a statement: “The Quantum Rise team uniquely understands how to apply data, automation and AI to augment human intelligence to drive growth.”