**Articul8 Secures Major Funding Round to Tap the Growing Demand for AI in Regulated Industries**
Articul8, the enterprise AI firm spun out of Intel, has just secured a whopping $70 million funding round. The company’s CEO, Arun Okay. Subramaniyan, spilled the beans in an interview, citing the massive demand for AI solutions in regulated industries like energy, manufacturing, aerospace, financial services, and semiconductors.
The funding round is a two-part deal, with the first installment led by Spain’s Adara Ventures. Articul8 expects to wrap up the round in the first quarter of this year. While Subramaniyan wouldn’t reveal the size of the initial installment, he did confirm that the company’s not desperate for cash – they’re actually in a revenue-positive situation following a string of big enterprise deals.
“We’re not cash-strapped,” Subramaniyan said, adding that they’re on track to end the year with annual recurring revenue of around $57 million, with about 45-50% already recognized.
Articul8 creates specialized AI programs that work within customers’ own IT environments, rather than relying on shared, general-purpose models. They package their expertise as software applications and AI brokers tailored to specific business capabilities, focusing on regulated industries where accuracy, auditability, and data management are a must.
The competition is fierce, according to Subramaniyan, with cloud service providers being the main rivals. But Articul8’s focus on specialized programs appeals to customers who want predictable outcomes and clear audit trails – something that’s harder to achieve with general-purpose models run on shared cloud platforms.
The company plans to use the fresh funds to expand research and product development, as well as scale their operations internationally, with a focus on Europe and parts of Asia. They’re also looking to expand in markets like Japan and South Korea, where they’ve already started working with big enterprise prospects.
In addition to Adara Ventures, India’s Aditya Birla Ventures also participated in the ongoing round, according to Subramaniyan. Articul8 works with big tech teams like Nvidia and Google Cloud, with Amazon Web Services being both a customer and a partner for some deployments.
The company has a team of 75 people, about 80% of whom are focused on R&D, spread across the U.S., Brazil, and India.
**Source:** [https://techcrunch.com/2026/01/07/intel-spin-off-articul8-is-halfway-to-70m-ai-funding-round-at-500m-valuation/](https://techcrunch.com/2026/01/07/intel-spin-off-articul8-is-halfway-to-70m-ai-funding-round-at-500m-valuation/)
