Working with insurers, the company's core products let users submit photos of damaged cars to obtain immediate AI appraisals. When drivers get into an accident, they (or their repairer) can submit photos of the damage to their insurer, which the company's AI analyzes in real time to accelerate decisions that can otherwise take days, such as predicting whether the car is repairable, or assessing what repairs should take place.
The funding round, led by venture capital and private equity firm Insight Partners and fintech company Georgian, doubles the total previously raised by Tractable from $55 million to $115 million and values the company at $1 billion. The latest investment, says the company, will accelerate its growth in accident recovery, and fund expansion into buying/selling used cars as well as natural disaster recovery.
"Six years ago we founded Tractable to bring the AI breakthrough in image classification to the real world," says Alex Dalyac, CEO and founder of Tractable. "We cracked how to assess cars, helping over a million people recover from accidents, and helping recycle cars that couldn't be repaired. We've turned $55 million raised until now into $1 billion of valuation. And yet, there are other image recognition tasks out there, and more AI breakthroughs to come. Next up for us is homes."
The investment, says the company, will serve first to double down on accident recovery, its core business. It will also fund new AI solutions for assessing the condition of a car, allowing users to understand vehicle damage down to individual parts - to enable transparent sale and purchase decisions.
LKQ North America, the leading provider of alternative vehicle parts and the world's largest automotive recycler, already uses the company's AI to optimize the recycling of end-of-life vehicles in North America. Automotive companies and auto leasing financial institutions will also be able to benefit from the technology, says the company.
In addition, the round will fund the