UK’s AutogenAI bags €20M for generative AI platform to transform bid-writing process

London-based AutogenAI, a company that offers natural language processing solutions to help companies write compelling draft bids, proposals and tenders in minutes, announced on Thursday that it has raised $22.3M (nearly €20M) in a fresh round of funding.

AutogenAI’s software generates substantial savings for businesses and governments by reducing bidding costs. These cost reductions can be reinvested in frontline services, benefiting society as a whole.

In just six months, AutogenAI claims to have secured 28 clients ranging from global management consultancy to non-profits, and will use the fresh funding to advance its technology and expand internationally.

The investor

The investment came from UK-based venture capital firm Blossom Capital. It claims to be Europe’s largest dedicated Series A fund.

The VC firm leverages its local roots and global connections to provide founders in various sectors, including consumer internet, cybersecurity, developer tools and open source, enterprise SaaS, and marketplaces, with a distinct advantage.

Ophelia Brown, Founder of Blossom Capital, says, “It’s been quite a few years since we saw a London startup or founder that was so exciting as Sean and the team at AutogenAI.”

“After launching only last year, AutogenAI has already become one of the fastest-growing generative AI companies in the UK, thanks to its unique focus on transforming the $0.5T global tendering market. We’re excited to partner with the team and support them on their growth journey,” adds Brown.

Blossom Capital’s other investments include Checkout.com, Moonpay, Pigment, and Tines, among others.

What service does AutogenAI offer?

Founded in 2022 by Sean Williams, a former bid writer with experience in Government services, AutogenAI utilises generative AI to help top companies in writing bids and tenders for public sector and corporate contracts across various industries, such as consultancy, IT, health, transport, and construction. 

According to AutogenAI, bid writing has been central to B2B and business-to-government procurement for decades. The UK Government and local councils spend £379B each year on acquiring public services, which equates to one-third of all public spending. 

There are 40 Strategic Suppliers to the UK government that do more than £100M in contracted business each year and another 3,000 firms that do more than £10M in yearly work. Even small businesses, including charities and non-profits, spend over £1M every year on bidding.

The total market for tendering is estimated to be worth half a trillion dollars, including private-sector procurement. 

However, using technology to streamline the process can result in significant savings – bidding fees can easily account for 10 per cent of the overall contract value of a service, says AutogenAI.

Using AutogenAI in UK public sector procurement might save up to 10 per cent of expenses, freeing up around £37B for frontline services – a little more than the UK’s yearly defence budget of £33B.

AutogenAI has a team of specialists in procurement, bid writing, and machine learning.

Generative AI with real use case and benefits

AutogenAI uses large language models (LLMs) and custom-made Language Engines to help bid writing teams generate content backed by publicly and privately available data.

Within months of its inception, AutogenAI claims to have transformed the bid-writing process, cutting the time required to create a first draft by 70 per cent. This allows bidders to concentrate on the strategic parts of their bids, improving their chances of success by up to 30 per cent.

Williams says, “We build language engines that help organisations to write bids, tenders and proposals more efficiently and more effectively. Our technology augments human expertise by enhancing the power of bid writing teams.”

“This is a clear example of AI being used for public good, reducing the cost of bidding and freeing up taxpayers’ money for the delivery of services. We’re looking forward to working closely with Blossom Capital to build on the progress we’ve achieved so far,” adds Williams.