Digital Reasoning Looks Beyond Conduct with $30 Million Funding

This new funding will allow Digital Reasoning to expand its product portfolio for capital markets and wealth-management use cases, accelerate key artificial intelligence (AI) innovations across speech analytics, natural language understanding, and machine education and increase its go-to-market capacity.

 “Previously a lot of our work in capital markets has focused on conduct surveillance, and a better understanding of regulatory and reputational risk there,” says a spokesperson for Digital Reasoning. “The exciting thing with this round is that it allows us to work with customers now in a different way. Not only looking for risk, but really working with our banking customers to identify a wonderful customer engagement opportunity. This funding allows us to drive innovations in customer analytics—what we would call customer insights.”

Angel Rodriguez-Issa, global head of strategic investments, global markets at BNP Paribas, has joined Digital Reasoning’s board of directors as part of the fundraise. The French bank did not provide additional comment in time for publication.

Other investors include Barclays, Square Capital, Goldman Sachs, Nasdaq, Lemhi Ventures, and the Partnership Fund for New York City. 

Digital Reasoning works with the majority of the 10 largest banks in the world, including Goldman Sachs and UBS. Its cognitive cloud-based computing platform, Synthesys, monitors different types of electronic communications—email, chat, phone calls, images, documents and social media are some of the channels it tracks—and delivers an entity-centric view of data, ultimately being used to pinpoint employee misconduct.

“Before, everyone was ‘doing AI,’ Digital Reasoning was implementing it and delivering production outcomes on millions of communications every day in capital markets,” says Tim Estes, president and founder of Digital Reasoning. “Some of this has shown up in key and broad patents recently awarded to Digital Reasoning, such as finding conduct risks across many communications.”

Digital Reasoning was founded in 2000 and is headquartered in Nashville. It currently employs close to 200 people and has offices in Washington, New York and London. The company’s offerings also target the defense, healthcare and law-enforcement sectors.