Allen Institute for AI’s Incubator expands with $10M fund from high-profile VCs
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Allen Institute for AI's Incubator expands with $10M fund from high-profile VCs
The Allen Institute for AI (AI2) started its incubator up two years ago, helping launch companies like Xnor.ai, Blue Canoe, and WellSaidLabs. Their success has attracted funding from not just local Seattle VC outfit Madrona, but Sequoia, Kleiner Perkins, and Two Sigma as well, resulting in a new $10M fund that should help keep the lights on.
The AI2 Incubator, led by Jacob Colker since its inception in 2017, has focused on launching a handful of companies every year that in some way leverage a serious AI advantage. Blue Canoe, for instance, does natural language processing with a focus on accent modification; Xnor.ai is working on ultra-low-power implementations of machine learning algorithms, and was just acquired yesterday by Apple for a reported $200M.
Apple buys edge-based AI startup Xnor.ai for a reported $200M
"We think the next generation of so called AI-first companies are going to have to graduate into building long term, successful businesses that start with an AI edge," said the program's new managing director, Bryan Hale. "And the people who can help do this are the ones who have helped build iconic companies."
Hence the involvement of household names (in the startup community anyhow) Sequoia and Kleiner Perkins, and Two Sigma from New York. Seattle-based Madrona also recently invested in AI2 company Lexion. It's a pretty solid crowd to be running with, and as Colker pointed out, "they don't often come together."
"But also, they looked up into the northwest and said, what's going on up there?" added Hale. Indeed, Seattle has over the last few years blossomed into a haven for AI research, with many major tech companies establishing or expanding sa