# understandAI

Startup profile on Capital Atlas: https://capitalatlas.ai/startups/understandai

- Industry: Software
- Headquarters: Karlsruhe, Germany
- Website: www.understand.ai
- Total disclosed funding: $2.8M
- Latest round: Seed (Jan 16, 2018)
- Investors on record: 4

## About

understandAI GmbH is a technology company focused on providing advanced ground truth solutions for the autonomous vehicle sector, emphasizing high-quality 2D annotation services tailored for Automated Driver Assistance Systems (ADAS) and autonomous driving projects.Founded in 2016 in Karlsruhe, Germany, understandAI GmbH specializes in offering ground truth solutions for the autonomous vehicle market. The company has undergone no known pivots or changes in business strategy since its inception. Co-founded by Marc Mengler and Philip Kessler, it is currently led by CEO Juergen Daunis. In its only funding round, the company raised USD 2.8 mn during a Seed financing round on January 16, 2018. The round was led by LEA Partners and included investors such as Agile Partners, Frontline, and Synapse Partners. The total amount raised by the company to date is USD 2.8 mn.understand.ai specializes in providing advanced ground truth solutions tailored for the autonomous vehicle industry, specifically focusing on Automated Driver Assistance Systems (ADAS) and autonomous driving (AD) projects. Their primary offerings include a comprehensive 2D annotation platform that supports complex annotation projects with high consistency and quality at scale. The technology streamlines the annotation process using innovative automation techniques, allowing clients to efficiently manage large volumes of data essential for training machine learning models. The end users of these services predominantly include automotive manufacturers and technology firms involved in the development of autonomous systems. understand.ai serves clients across various geographical markets, with a significant presence in Europe and North America, where the demand for autonomous vehicle technology is rapidly growing.For the year 2023, understand.ai reported a revenue of USD 3,307,618.30. The company's revenue model is primarily based on B2B partnerships and service agreements with clients in the automotive and technology sectors. The company generates income through its annotation services, which are priced based on project complexity, volume, and specific client requirements, enabling tailored solutions for each customer. Partnerships with carefully selected labeling partners further enhance service delivery and scalability. Clients typically engage with understand.ai through structured agreements encompassing project-based contracts for annotation services aimed at various phases of product development, from initial concept validation to large-scale validation projects. In 2022, the company achieved an EBITDA of USD 76,492.40.Following its Seed funding round in January 2018, where it raised USD 2.8 mn, understand.ai plans to utilize this capital to enhance its service offerings and expand its market reach. The company is focused on developing new products that advance their annotation technology for autonomous systems, although specific release dates have not been disclosed. Furthermore, understand.ai aims to enter new geographic markets, particularly targeting expansion in Asia and South America by 2025. The funding will support these initiatives by enabling investment in research and development, as well as increasing operational capabilities to meet the growing demand for autonomous vehicle technology.

## Funding rounds

- Seed, Jan 16, 2018, $2.8M — LEA Partners, Frontline, Synapse Partners, Agile Partners

## Investors

- LEA Partners (https://capitalatlas.ai/funds/lea-partners) — Seed
- Frontline (https://capitalatlas.ai/funds/frontline) — Seed
- Synapse Partners (https://capitalatlas.ai/funds/synapse-partners) — Seed
- Agile Partners (https://capitalatlas.ai/funds/agile-partners) — Seed