11x. ai, an emerging startup that creates AI-driven sales development bots, has raised approximately $50 million in Series B funding, according to TechCrunch. This funding round was led by Andreessen Horowitz, which has valued the company at around $350 million, as reported by multiple sources. This latest funding follows the company’s earlier Series A round, where it raised $24 million, led by Benchmark with participation from investors like 20VC, Project A, Lux Capital, and SV Angel. Although 11x. ai announced its Series A funding earlier this month, we learned that the closing occurred earlier in 2024, with the company valued at $90 million during that round, as per one insider. Both 11x. ai and Andreessen Horowitz have not yet responded to requests for comments. Hasan Sukkar, the founder and CEO of 11x. ai, shared with TechCrunch that the company is nearing an annual recurring revenue of $10 million. This valuation suggests that the startup is being valued at around 35 times its ARR, which is a more realistic multiple compared to the lofty valuations other AI companies with similar revenues have recently achieved. For instance, Hebbia, a major document search startup, raised its Series B at a staggering 54 times ARR, as reported by TechCrunch in July. The Series B funding places 11x. ai in a favorable position relative to its competitors in terms of both valuation and total capital raised.

However, investors have indicated to TechCrunch that it remains too soon to determine if the company has created a significant advantage over its competitors. 11x. ai is among a multitude of rapidly growing startups developing AI sales development representatives (AI SDRs). Other notable competitors in this space include Reggie. ai, AiSDR, and Artisan, while established firms like Salesforce have also launched products that function as autonomous sales agents. Despite some investors expressing caution about backing AI SDR startups due to the difficulty in differentiating their offerings, 11x’s successful Series B funding demonstrates that other venture capitalists are willing to make substantial investments in such startups. Currently, 11x. ai offers two AI bots, referred to as “automated digital workers. ” Alice serves as an AI SDR responsible for sales lead generation, research, and customer outreach. The company has also launched Jordan, an AI-driven phone sales representative capable of conversing in over 30 languages and managing inbound and outbound interactions with potential human customers.