With the new funding, Hyperscience, which has 145 employees in offices in New York, Sofia, Bulgaria and London, has now raised $111 million from investors including Tiger Global, Stripes Group, FirstMark, Felicis Ventures and now Bessemer. At Bessemer, partner Elliott Robinson says the hope is that Hyperscience can do something RPA hasn’t easily achieved: create systems that know when to loop in humans and when to leave them out of a process, in a way that doesn’t require a heavy touch from outside business analysts. (RPA players like UiPath have grown so fast in part because of partnerships with the world’s largest consulting firms, who can make more money per contract than the software provider to set up and manage its bots.)
Hyperscience closed its round in March after a first quarter of 2020 in which the company says it grew revenue by 300%; the day after the term sheet was signed, the market dropped 2,000 points. “You’re sitting there as an investor asking yourself, hmm, okay, how do I feel about the deal I struck,” Robinson says. But Hyperscience has never lost a customer, the investor claims, and Brodsky says his startup has seen a boost in demand since Covid-19 pushed businesses to work remotely. “We’re seeing large global enterprise digital transformation happen at a pace over the last two months that I don’t think I’ve seen before in my career,” says Robinson.
What Hyperscience does that RPA companies do not, its CEO claims, is rewrite and improve the business processes themselves. RPA software essentially adds a layer of code that stitches together different systems to make them automatable, says Brodsky; Hyperscience’s approach, which it calls software-defined management, can detect the best process that would lead to a certain outcome, even if no human has yet put it in place. “RPA faces an existential threat from the fact that they have hitched their wagon to a legacy star,” Brodsky claims. “With or without us, legacy systems will inevitably die out; that’s what legacy systems do. We want to help businesses define their business processes the same way that they write software.”