Layer’s $3 Million Seed Round Aims to Revolutionize AI Copilots

BluShark Media
3 min readOct 17, 2023

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Layer, a startup based in Columbus, Ohio, has secured a $3 million seed round to advance its mission of enhancing AI copilots for various enterprises, especially small and medium-sized businesses (SMEs).

The world of generative AI has been buzzing with excitement for over a year, with giants like Microsoft and companies like iCIMS delving into AI copilots. However, a critical question looms over this AI revolution: How useful, reliable, and beneficial can AI copilots be to end-users?

Layer’s unique approach is to ensure that AI copilots not only assist but become indispensable. By focusing on reliability and minimizing AI hallucinations, where the program generates incorrect or harmful information, Layer aims to create AI copilots that businesses can’t imagine functioning without.

Layer’s mission received a substantial boost with a $3 million seed round led by Drive Capital, with participation from Resolute Ventures, Detroit Venture Partners, Alumni Ventures, Expansion Venture Capital, and several other funds and angel investors.

Layer’s vision of AI copilots is akin to a personal assistant for end-users. These AI copilots can interact with a software platform in plain language, taking instructions and executing tasks without users having to navigate complex interfaces. It’s a vision of software interaction where voice commands and natural language queries become the norm, transforming how people engage with digital platforms.

This direction aligns with the emerging trend of AI copilots in software, but Layer’s ambition is to make this innovation accessible to businesses of all sizes. They aim to revolutionize how customers and employees, from SMEs to large enterprises, interact with software.

In a blog post, Layer’s CEO Jonah Katz emphasized that a good AI copilot should be able to perform any task a user can do on the platform, and do it up to ten times faster. This speed and efficiency could significantly boost productivity and user experience.

The central challenge in developing AI copilots lies in ensuring their reliability. Large language models (LLMs) can sometimes generate incorrect or undesirable responses, which can lead to problematic outcomes. To address this challenge, Layer has implemented a system that utilizes the client’s software documentation as a framework for the AI copilot’s decision-making.

Layer’s approach includes a sequence validator that checks the validity of the chosen path based on the client’s software documentation. If the path isn’t valid, the AI copilot either generates an alternative path or defers to a predetermined fallback procedure. This strategy ensures that AI copilots operate within the predefined boundaries set by developers, avoiding unwanted or problematic behavior.

While Layer initially aimed to target companies in the financial services sector, Katz envisions a future where nearly all SMEs reliant on software could benefit from their AI copilot infrastructure. The technology being developed by Layer is highly adaptable, making it relevant for a wide range of platforms and software applications.

For instance, Layer draws inspiration from the real-world experiences of its CEO. Katz recalls performing repetitive and mundane tasks on a business leads organization platform, a process that could have been automated with a capable AI copilot. The goal is to provide a tool that users can instruct naturally, allowing it to execute complex workflows autonomously.

With the fresh injection of capital from their seed round, Layer, a relatively rare AI startup in the Midwest, aims to expand its team and continue developing its AI copilot platform.

Layer’s efforts are poised to change the way businesses and individuals interact with software, leveraging AI to enhance efficiency and user experiences. While AI copilots are becoming more common, the emphasis on reliability and minimizing unwanted AI behavior could lead to a transformative shift in the digital landscape. Layer’s vision of making AI copilots an integral part of everyday software interactions could soon become a reality, reshaping how we navigate the digital world.

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