Articul8 AI Hits $500 Million Valuation Following Oversubscribed Series B Funding Round

Articul8 AI has closed the initial tranche of its Series B funding round, valuing the Santa Clara startup at over $500 million. This capital raise, led by Adara Ventures with participation from NXC Corporation and Aditya Birla Ventures, marks a five-fold valuation increase in under two years. The company anticipates a final close in the first quarter of 2026, bringing the total round to approximately $70 million.

The funding arrives as the enterprise software firm surpasses $90 million in total contract value, reflecting a tripling of its growth compared to 2024. Originally launched as a spin-out from Intel, the company has quickly established itself as a leader in secure, domain-specific generative artificial intelligence. Current backers include Intel Capital and DigitalBridge, a firm recently slated for acquisition by SoftBank.

Articul8 focuses on a full-stack platform powered by its proprietary ModelMesh reasoning engine. This technology allows large organizations to deploy AI applications entirely within their own security perimeters. By prioritizing data sovereignty, the firm ensures that proprietary information never leaves the corporate firewall. Detailed information about the raise can be found in the official press release.

Performance benchmarks indicate that the company's specialized models significantly outperform general-purpose alternatives in regulated sectors. For example, their energy-specific model achieved 96.9 percent accuracy on regulatory topics compared to just 71.3 percent for broader industry models. This high level of precision is essential for mission-critical workflows in aerospace, finance, and manufacturing.

Recent milestones include achieving the Amazon Web Services Generative AI Competency and being named a foundational provider for the Open Power AI Consortium. The firm also serves as a launch partner for Google’s Agent-to-Agent interoperability protocol. These partnerships highlight the company's growing influence within the global enterprise tech landscape.

CEO Arun Subramaniyan stated that the industry has reached a turning point where trust and accountability are non-negotiable for enterprise AI. The new capital will be used to accelerate global expansion across North America, Europe, and Asia. It will also fund further development of the company’s reasoning technology and domain-specific agents.

Investors believe that Articul8 is uniquely positioned to help enterprises unlock value from their proprietary data safely. By offering vertically optimized solutions, the company helps organizations avoid the high costs and security risks associated with public AI models. This approach aligns with a broader trend of companies seeking specialized tools over generic digital assistants.