FlowX.AI – the world’s first AI enterprise application modernization platform for large financial services organizations – announced recently that it has raised a $35 million Series A funding round. This funding round was led by Dawn Capital with existing investors PortfoLion, SeedBlink, and DayOne Capital participating. FlowX.AI plans to use the funding to fuel further product innovation and pursue global expansion.
The company was launched in 2021 by three co-founders: Ioan Iacob, Radu Cautis, and Serban Chiricescu. And within 2 years, the company has secured partnerships with large system integrators and driven hundreds of millions of dollars in ROI for leading financial institutions across Europe. Some of the major clients already include the leading European banking group OTP, which has $85 billion in AUM; the largest bank in South Eastern Europe, Banca Transilvania; as well as one of the largest banking groups in Central Europe, Alpha Bank. Now the business has a team of almost 50 people across Europe and the US and the company is embarking on rapid expansion with a view to becoming the global go-to solution in the space of enterprise application modernization.
FlowX.AI was originally launched as an application modernization platform to solve a trillion-dollar problem for financial institutions: how to quickly build mission-critical modern digital solutions on top of complex legacy systems. And until now, large banks and enterprises operating on legacy infrastructure have been spending huge sums on maintaining old systems while creating new apps and products.
To put this into context, companies have spent almost $2 trillion on digital transformation projects last year and software errors cost the US economy alone over $2 trillion. And these projects are not only expensive, but they are often slow, require intense tech talent input, and can go significantly wrong when risky “rip and replace” processes on core legacy systems are attempted.
The platform’s capabilities mean that large enterprises can develop within weeks rather than years. And modern digital capabilities which are essential for them to remain competitive and even to survive. New products built on FlowX.AI technology require minimal maintenance going forward, helping future-proof tech stacks and budgets, and reducing the cost of infrastructure.
KEY QUOTES:
“For a long time enterprises have been promised useful tools for modernizing their business. Many promises have been made over the years related to speed of digital product development, no code / low code, citizen programmers, and many others. But these promises have not been kept. Instead, enterprises got a thousand disjointed point solutions and ended up captive to inflexible solutions, vendors, and proprietary technologies. FlowX.AI addresses this problem. We are proud our platform has been consistently enabling customers to accelerate application modernization in an unprecedented way: what used to take years is now being done in weeks. We’ve now truly proven our product and are ready to bring FlowX.AI to even more customers. Our Series A funding will allow us to bring to market a number of innovations that will bring AI to enterprise on a large scale, and to expand our geographic footprint.”
— Ioan Iacob, FlowX.AI Founder and Chief Executive Officer
“Tech innovation continues to accelerate, yet the businesses that underpin our everyday lives are running on century-old technology. We can use our phones to get AI to generate a travel itinerary in seconds, but it takes years for our banks to offer new mortgage products. Enterprise leaders want to rapidly increase the pace of change, and FlowX.AI offers an elegant and intuitive solution. It abstracts away horse-and-carriage legacy infrastructure, and ensures users are only ever exposed to a spaceship experience. Ioan and his team are further proof that tech innovation is on fire across Europe, and we are thrilled to be supporting them as FlowX.AI becomes a truly global player.”
— Evgenia Plotnikova, General Partner at Dawn Capital
