Synthflow AI: Revolutionizing the Conversational AI Market with Enterprise-Grade Solutions

The conversational AI market has experienced a surge in growth since the release of ChatGPT in November 2022, and it's predicted to become a $50 billion global industry by 2031. In this rapidly expanding space, Berlin-based Synthflow AI is one of the companies hoping to stand out with its focus on enterprise-grade solutions and ease of setup.

Synthflow is a no-code platform that enables enterprises to build and deploy customized white-labeled voice AI customer service agents. The company, which launched in 2023, has amassed over 1,000 customers and has handled more than 45 million calls. Its voice agents are both HIPAA and GDPR compliant and can be integrated with over 200 other enterprise platforms, including Salesforce, Twilio, and HubSpot.

Hakob Astabatsyan, co-founder and CEO of Synthflow, told TechCrunch that he and his co-founders, Albert Astabatsyan and Sassun Mirzakhan-Saky, started experimenting with OpenAI's ChatGPT API in early 2023 to explore potential no-code business applications based on the AI model. They initially created a text-to-text AI bot and then moved on to building a voice bot.

"We realized that voice is really complicated," Astabatsyan said. "To make AI speak in real time with a 400 millisecond latency and handle interruptions is such a complicated task. We fell in love with this problem, and we decided to focus only on voice bots from now on."

The team formed Synthflow and spent the rest of 2023 building the product. They launched the first version of Synthflow at the beginning of 2024 and released an enterprise-grade version of the tech at the end of the year. The company grew 15 times last year and has seen over 90% retention from its enterprise customers.

"We process 5 million calls monthly," Astabatsyan said. "Last year, it was around 1-2 million, and then we started growing very quickly. This is where Synthflow really started to take off because we had this velocity."

The startup also recently raised a $20 million Series A round led by Accel with participation from existing investors Atlantic Labs and Singular. Astabatsyan said the company raised the round to expand its team, boost research and development, and open its first U.S. office in an undetermined location.

Luca Bocchio, a partner at Accel, told TechCrunch that the Accel team had been tracking Synthflow since it started developing its first product. What stood out to Bocchio was the founding team's drive and its early push into building enterprise-friendly integrations.

"This team has had really strong views since the beginning about creating more depth with the technology and extensive integrations across CRMs and tools enterprises may use to provide enterprise-grade compliance," Bocchio said.

Despite the competition in the conversational AI space, Synthflow seems poised for success. There are numerous other companies building in this category, including Bret Taylor's Sierra, which has raised $285 million in VC funding, and Bland AI, which has raised over $50 million in venture funding.

"AI is moving so fast, and sometimes things happen faster than you would expect," Astabatsyan said. "But for us, it's very clear. We're at a stage where we know who our customers are, we have a clear idea of our product roadmap, and where we want to be in the next three to five years."

With its focus on enterprise solutions and rapid growth, Synthflow AI could be a major player in the conversational AI market in the coming years.