^{Welcome, AI enthusiasts}

Hi 👋, welcome to the Disclosing AI Newsletter — your guide to getting one step closer to launching your own startup!

Every week, we dive deep into a groundbreaking AI startup, unpacking what they do, their revenue model, funding milestones, and the opportunities ahead.

Here’s what’s in store for you this week:

• A startup that’s built the first-ever IDE designed for creating AI agents

• Over 350k users have already signed up, with 10 million people engaging with the agents built on their platform

• They just closed a $30M seed round — one of the largest in YC history

P.S. Don’t miss the CEO’s exclusive fundraising tips at the end — he raised $30M in just 7 days! 🤑

So, what’s the startup and who’s behind it? Here’s the story of WordWare 📈

Founded in June 2023 by Filip Kozera and Robert Chandler, WordWare is on a mission to help companies unlock the full potential of AI. 🤖

The challenge? The current software development process is painfully slow. 🦥 Key stakeholders who should be part of the iteration cycle often can't read or interact with code.

This is why code generation has moved so far 🧑‍💻- engineers are the people who can look at code and judge the outputs.

WordWare is betting against this. They believe prompts don’t belong in the codebase.

For instance, tools like LangChain require users to navigate a complex loop of prompts, code, natural language, and LLMs to get meaningful results. 🗣️

Domain experts (like lawyers or doctors) often know exactly what needs to be done but lack the tools to implement or iterate on solutions themselves.

WordWare’s solution? The first IDE specifically designed for building AI agents — with natural language as the coding interface. 💬

With WordWare, anyone can create AI agents using plain English.❗

The platform is intentionally designed to feel familiar, much like Notion. Users can access various functions through simple “/” commands. 📄

For teams with non-technical members, WordWare allows them to map out entire workflows and deploy applications as internal tools.

This bridges the gap between engineers and domain experts, enabling them to co-create powerful AI solutions. 👫

Best of all, these AI agents are instantly accessible via API, streamlining deployment and usability.

Backstory 👀

Robert and Filip have been immersed in the AI and LLM space for over 7 years. 🐣 Early adopters of models like BERT and GPT-2.

Their journey began at Cambridge University, where they bonded over a shared passion for AI and a desire to push technological boundaries. 💫

They quickly connected over their shared passion for Machine Learning and LLMs, dedicating countless hours to brainstorming ideas and exploring new technologies.

In 2014, they began envisioning a future where AI could revolutionize entire industries.

Robert went on to join FiveAI as a pioneering engineer, working on embodied AI and self-driving technology. 🚙 The startup was later acquired by Bosch in 2022.

Filip brought an impressive track record to the table, having raised over $10M across previous startups. 💸

Right after university, he launched an AI startup focused on developing ML tools to make the internet more accessible for the visually impaired. This effort earned him accolades from the UCL VC Fund, Microsoft Imagine Cup UK, and the McKinsey Venture Academy. 🏆

Filip then founded Kristalic, a project to create a digital memory bank using early LLM models like BERT and GPT-2. Despite raising $6.5M and participating in Techstars' 2019 batch, the venture ultimately didn’t succeed. 😫

Next, Filip and Robert co-founded HeyDaily, a platform enabling creators to monetize exclusive content through subscriptions. The startup grew profitably to $30k in monthly recurring revenue. 💸 

However, Filip decided not to continue with it, believing the space lacked unicorn potential.

Throughout their individual journeys, Robert and Filip remained close friends, always brainstorming about the future of AI. 🤓

Their shared vision culminated in a clear mission: to equip companies with the tools and insights to fully harness the power of AI. 👊

The Hustle 🤑

Over dinner one evening, Filip and Robert discussed the potential of creating software through prompting.

“If prompting is the new programming, what should the tools look like?” ⚒️

With this idea, they joined Y Combinator’s (YC) S24 batch, where they received valuable guidance on building their vision.

In just a few days, Filip and Robert developed their first product —a simple AI application designed with shareability in mind, leveraging human psychology to drive engagement. 🧠

To test the waters, they quickly launched the product on Product Hunt to validate their idea and assess its feasibility.

The results were extraordinary.

📈 Their Product Hunt launch garnered engagement from 7.5 million people, sparking viral growth at its peak.

In just weeks, WordWare’s revenue surged 20x, and they scaled to over 350k users. 🚀

💰 Around this time, WordWare secured a $30 million seed round led by Spark Capital, with participation from Felicis, YC, DayOne Ventures, Paul Graham, and others.

This marked one of the largest seed rounds in YC history, raised in just 7 days. To put it in perspective, the typical YC seed round is $1.5–$2 million, making this 15x the average. ✴️

Today, WordWare powers AI backends and LLM workflows for startups and enterprises like Instacart and Runway, revolutionizing how AI applications are built.

BONUS: Fundraising Tips from Filip 💸 Source: FORBES

Raising $30 million in just seven days requires more than just luck. Filip Kozera, the Co-founder and CEO of WordWare, shares how he and his team approach raising money with storytelling, strategy and precision.

1. 🔢Master Storytelling with raw numbers: "Fundraising is ultimately about storytelling—you're selling a vision of the future”. 

For WordWare’s pitch they avoided traditional slide decks and fancy presentations. 😝Instead they used a single page of raw metrics - enforcing the narrative to make the numbers more compelling.

 "When you strip everything down to core metrics, you create a story that makes those numbers speak to the future you’re building.”

2. 🥱Preparation creates “effortless Meetings: "The goal isn’t just to be prepared—it’s to be the most prepared person in the room,”

Wordware meticulously researched every single potential investor’s thesis, portfolio companies, and personal interests.

 They tailored pitches accordingly making meetings feel personal and purposeful to build trust. 🥰

3. 😎Confidence in Strategy: "VCs should have to negotiate for these rights, and in some cases, even offer a higher valuation in exchange,"

WordWare tackled their fundraising with a well-defined strategy, setting a funding target they were 80% certain they could achieve.

This approach ensured they would be oversubscribed rather than risk falling short with investors.

Thank you for Reading.

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