Palo Alto, Calif.-based Simility, a fraud prevention technology startup, announced on Dec. 12 that it had raised $17.5 million in a Series B round of funding led by Accel. PayPal, The Valley Fund and Trinity Ventures also lent their backing. To date, the firm has raised a total of $25 million.
Simility's SaaS (software-as-a-service) platform blends machine learning and human expertise to thwart fraudsters and help online merchants, payment services and financial firms adapt to the latest scams. Using the company's SDK (software development kit), APIs (application programming interfaces) and beacons, the solution gathers transaction data directly from a customer's mobile app or website to detect patterns and create models that call attention to suspicious behavior.
The solution can automate decisions on 99 percent of an organization's transactions, intelligently approving or rejecting each transaction on a per-customer basis, according to the company. For the one percent of interactions that require a human touch, the platform provides analysis tools and automated workflows that enable users to conduct complex investigations with relative ease.
"Digital disruption in the financial and commerce sectors has resulted in the need for a fraud and risk management solution that goes beyond legacy, static rule-based offerings to offer protection in a digital first, big data analytics-focused environment," said Simility CEO and co-founder Rahul Pangam in a statement. "Simility is fulfilling that need with an innovative, game-changing, adaptive solution."
With new cash in hand, Simility plans to go on a hiring spree, added Pangam. "This latest funding round will enable us to enter our next phase of growth by bolstering our world-class team of industry veterans in sales, customer success and data science to meet market demand."
Many of those new hires may hail from the U.K.
"Over the past few years London has been shaping up as a major center for cutting edge AI development and research and this is a wonderful opportunity for Simility to bring some of these brilliant minds on board," remarked Ravi Sandepudi, head of India Engineering at Simility, in a blog post.
Simility joins a lengthy list of AI-savvy startups to score funding in 2017.
Earlier this month, Alcide exited stealth and announced it had raised $5.2 million. The company's SaaS platform uses AI to scour the dark web for emerging threats. In July, Darktrace collected $75 million in VC funding for its real-time, AI-enabled threat detection platform.