Patlytics raises $14M for its patent analytics platform

For decades, patents in the technology world have been a controversy, which some viewed as a possibility to protect intellectual property, but by critics as a blunt weapon against innovations. In the age of the AI, they are visited again.

New York startup Patlytics has developed an AI-capable patent analysis platform to help companies, IP specialists and law firms to rationalize their patent work processes from discovery, analysis, comparison and law enforcement to legal disputes.

The startup supported by Google said that on Monday it was 14 million US dollars in a round of Series A, which was involved in Next47 with participation in existing investors, including Google Gradient, 8VC, Alumni Ventures, Liquid 2 Ventures and Myriad Venture Partners, was. The series -a financing, which increases its total to 21 million US dollars, cost about 9 months later His previous seed round in April.

CEO Paul Lee and Cto Arthur Jen was a co-founder of Patlytics in January 2024. The former risk capitalist from Venture Capitalist Lee saw that IP companies apply antiquated techniques when working with patents: Discovery, analysis and reporting on intellectual ownership or construction of cases For patent -related work such as potential legal disputes all time -consuming, manual efforts. Jen knew first-hand the slow workflow: he was previously responsible for the administration of the submission and protection of patents at Magic, a crypto letter pocket company that he co-founded.

“Patlytics has an interesting genesis because I have no legal background and I initially had a lot of misunderstandings regarding legal technology,” Lee said in an exclusive interview with Techcrunch. “In the past, there have been many negative connotations and premises to sell technologies to lawyers, but AI really changed these premises. What we saw on the IP market is that people want better technology. There is a large advance of higher -quality work with LLMs, and especially for quality. “

Patlytics’ large-scaling models (LLMS) and generative AI-powered engine are for IP-related research and other work such as patent application processing, invention of disclosure, invalid analysis, detection/ analysis of standard patents (SEPs), SEPS analysis (SEPS) and IP-Asset Portfolio management.

The 1-year startup stated that they had an increase in the ARR and an 18-fold expansion of the customer base within six months, with a growth rate of 300% being observed by 300% per month. Patlytics has not announced how many customers they have, but said that around 50% of the customer’s matters are law firms, and the other half are corporate customers from industries such as semiconductors, biography, pharmaceuticals and much more. In addition, the company now serves customers in South Korea and Japan and has recently started its first pilot product in London and Germany.

Customers include abnormal security, Google, Koch Disruptive Technologies, Quinn Emanuel Urquhart & Sullivan, Richardson Oliver, Reichman Jorgensen Lehman & Feldberg, Xerox and Young Basile.

With the round of series A, the startup plans to scale sales and increase its investments in product development. This includes the setting of more engineers and the expansion into different modules that the company offers. The startup has doubled its employees and has increased from 11 to customer demand since April 2024. Eric Lin, who has more than 10 years of experience as an IP lawyer in law firms, including Paul Hastings, Morrison & Foerster and Baker Botts, will, want to join the Patlytics Leadership team as Vice President for Strategy for the next growth phase of the company.

“Patlytics can automatically carry out technical discoveries and generate detailed claims diagrams for validity and injury purposes that traditionally need expensive experts and countless lawyers” in Latham & Watkins. “By generation of confidential, detailed and impartial analysis, Patlytics’s goal is to ensure that the parties involved in the solution of patent conflicts can have cost -effective access to critical information and contribute more efficient litigation. “