Software June 4, 2020
On the heels of Hyperscience’s $60 million Series C investment announcement and Software-Defined Management launch, we wanted to share our perspective on the Company’s journey so far and our excitement about what’s to come. Hyperscience is innovating rapidly in an area that is a central pillar of our investing thesis – enterprise automation. The Company’s product allows clients to quickly recast entire business processes in software, enabling them to reduce costs, improve customer experiences, drive more revenue, and work more efficiently while “future-proofing” their businesses at a time when they need to be more dynamic than ever.
We first met co-founder and CEO Peter Brodsky in late 2017 before the Company had begun commercializing its product. Over the course of 2018, we were impressed with Hyperscience’s cutting-edge technology, product innovation culture, and rapid commercial success. Unlike most companies we see in their first year of commercialization, Hyperscience very quickly sold to and onboarded an array of sophisticated enterprises who all raved about the product’s efficacy and the team’s responsiveness. At Stripes, our focus has always centered on best-in-class products; hearing from these discerning customers that Hyperscience could deliver outcomes that they had been seeking to accomplish internally for years but had been unable to do so with legacy approaches and other software providers was exciting. Additionally, it was clear that all these customers were not just happy with the product, but also completely bought in to Hyperscience’s long-term vision – validating the magnitude of the opportunity to reimagine how enterprises do business.
In Q1 2020, Hyperscience achieved record results, including over 300% year-over-year revenue growth and over 30% month-over-month surge in March platform usage.
Hyperscience’s initial focus on data entry automation, which automatically extracts essential information from previously non-machine-readable documents and structures that data into a format that can be used by any enterprise system, was striking a chord across financial services, government, insurance, and healthcare. However, it was also clear that solving this enormous problem (enterprises spend nearly $60 billion annually on data entry alone) was actually “step zero”, as Peter likes to say, in fundamentally reshaping how businesses use data to make decisions, organize human resources, and drive business results across every vertical. When we had the opportunity to forge a deeper partnership with Peter and his team, we moved quickly and led a $30 million Series B in November 2018 to support this vision.
Since then, we have seen the business continue to execute and evolve first-hand. Over the last 18 months, Hyperscience has hired a COO, VP Marketing, VP Sales, VP Customer Experience, and VP Product, all of whom have been instrumental in building the foundation to enable the Company to capture the opportunity. In Q1 2020, Hyperscience achieved record results, including over 300% year-over-year revenue growth and over 30% month-over-month surge in March platform usage. The Company has consistently been recognized as one of the best places to work with a collaborative and innovative culture and superior benefits, and it now has 145 employees across its New York City, Sofia, Bulgaria, and London offices.
In addition, Hyperscience is pursuing its mission to become the world's leading automation company with a reimagined approach to building and powering processes with the world's first Software-Defined, Input-to-Outcome Automation platform. The Hyperscience Platform enables Global 2000s and major world governments to quickly build and roll out new business processes with built-in automations, upskill their workforces, reduce manual errors, and eliminate the need for costly transformation projects.
We are thrilled to participate substantially in Hyperscience’s $60 million Series C. We have more conviction than ever in Peter and his team’s ability to bring the Hyperscience Platform and Software-Defined Management to businesses around the world and fundamentally alter how they interact with their customers, employees, and each other.