As the demand for privacy protection in enterprise AI continues to rise, SpotDraft is standing out with its technological advantage of "reviewing contracts without connecting to the internet." According to TechCrunch, this legal tech startup recently secured an $8 million strategic investment from Qualcomm Ventures.
This round of funding, an extension of its Series B financing, directly raised SpotDraft's valuation to about $380 million, doubling its value within a year compared to its post-investment valuation of $190 million in February of last year.
Core Breakthrough: Let Contract Review Go "Offline"
For highly regulated industries such as legal, pharmaceutical, and defense, uploading sensitive contract terms (such as pricing, intellectual property, and transaction details) to cloud-based models always poses data security risks. SpotDraft offers a solution: On-device AI:
Completely offline operation: In its VerifAI workflow, contract review, risk scoring, and redlining can be completed on local devices without sending documents to the cloud.
Significant performance improvements: Thanks to the Qualcomm Snapdragon X Elite chip, the processing speed of its on-device model has reached one-third of that of cloud-based models, with the performance gap now reduced to less than 5%.
Deep integration into office scenarios: VerifAI runs directly within Microsoft Word, automatically comparing the company's existing guidelines and policy libraries to provide instant suggestions.
Market Growth: Customer Base Surpasses 700
Since its founding in 2017, SpotDraft has shown extremely rapid growth:
Customer base: It now has more than 700 customers (up from 400 last year), including well-known companies such as Apollo.io, Panasonic, and Zeplin.
Processing volume: The platform processes over one million contracts annually, with a significant 173% year-over-year increase in contract volume.
Revenue forecast: After maintaining rapid growth in 2024 and 2025, the company expects to achieve a 100% year-over-year revenue increase in 2026.
Future Vision: Building "AI Close to Files"
Shashank Bijapur, co-founder and CEO of SpotDraft, said that the future of enterprise AI lies in being "closer to the files," especially in the legal field where privacy sensitivity and low latency are critical.
