Scaled Cognition Raises $100M in Series A Funding Round

The company plans to use the funds to grow its operations and continue developing its technology.

Scaled Cognition builds AI systems designed for enterprise use, with a focus on reliability and trust. Its technology is already being used in production by Fortune 500 companies across financial services, healthcare, telecom, and insurance, where accuracy is critical.

Scaled Cognition’s flagship model, APT (Agentic Pretrained Transformer), delivers high-quality conversational AI while reducing hallucinations and ensuring reliable, policy-compliant responses, which the company calls “Super-Reliable Intelligence.”

APT is designed to be smaller, faster, more cost-efficient, and more accurate than frontier models. It can be deployed in a VPC or self-hosted, giving enterprises full control of their AI without relying on third-party providers. It is already used in production for customer service and experience workflows.

Genesys®, a global leader in AI-powered experience orchestration used by over 8,000 organizations worldwide, uses APT within its Genesys Cloud™ platform for virtual agent capabilities and has also invested in Scaled Cognition.

Beyond its model, Scaled Cognition offers a full enterprise AI platform, including agent tools, simulation and testing systems, and real-time monitoring to help companies build and run reliable AI at scale.

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Its first focus is customer experience, but the bigger opportunity is the $600 billion business process outsourcing market. This includes areas like customer service, IT support, HR, and finance, where companies are starting to replace outsourced work with AI systems they control. Scaled Cognition is building the infrastructure to enable this shift.

"The way to quickly get into the market is to take a frontier model and put a layer on top. What Scaled Cognition did was develop a different approach, then combine it with the best of LLMs,” said Vinod Khosla, founding partner of Khosla Ventures. “That took more research and more developmental risk. Most people are too lazy to do that. The result is Super-Reliable Intelligence: a model that will not give you a wrong answer. In any industry where an agent takes a real action, nothing else counts."

"We've made a series of breakthroughs that do for conversational AI what verifiable reinforcement learning has done for coding. Reliability is engineered into the architecture of our models, not bolted on after the fact. The biggest reliability challenge isn't the mistakes that look wrong; it's the ones that look completely correct. If you want AI to take real actions on behalf of customers, that's the problem you have to solve," said Dan Klein, CTO and co-founder.

"We spent years trying to apply AI to business applications and found it was essentially impossible to make these systems reliable," said Dan Roth, CEO and co-founder of Scaled Cognition. "You could have a spectacular interaction, think the singularity is here, and then look at the data and discover the system was making grievous errors. The problem isn't resources or effort, it's architecture. Solving it took years of methodical work and more innovations than we can count.”

About Scaled Cognition

Founded in 2023 by Dan Roth and Dan Klein, Scaled Cognition is an AI model lab focused on building reliable AI systems for enterprises. Its flagship model, APT, delivers natural conversational ability while reducing hallucinations, enabling AI agents to safely handle high stakes tasks like banking, healthcare, travel, and insurance. The platform also includes tools for building agents, simulation and evaluation systems and real time monitoring.

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