Go.AI raises USD $85 million to expand regulated AI

Go.AI has raised USD $85 million in Series A funding, bringing its total funding to USD $90 million.

Updata Partners led the round, with existing backers GFT Ventures and LAUNCH also participating. The Chicago-based company said it remains profitable and has grown annual recurring revenue more than eightfold year on year.

The fundraising comes shortly after the business changed its name from Go Abacus to Go.AI. It also follows the launch of The Go1, an on-premises artificial intelligence hardware and software product for regulated organisations.

Go.AI sells artificial intelligence systems designed to run inside a customer's own environment rather than through third-party cloud infrastructure. Its main customer groups include businesses in financial services, healthcare, aerospace and defence, and manufacturing.

Go.AI now serves more than 200 customers, whose deployments process more than 12.5 million queries each day.

The new capital will fund expansion across engineering, product development, and sales. The company plans to invest in both its software platform, Go.OS, and its hardware range as it targets organisations beyond its current base in regulated sectors.

Chief Executive Officer and Co-Founder David Moscatelli linked the fundraising to the company's growth since launch.

"When Lisa Gillespie and I cofounded the company, we were two people with a big idea. Today we have over 50 team members, and the company we've built is doing exactly what we said it would do for the institutions that trust us most," said David Moscatelli, Co-Founder and Chief Executive Officer of Go.AI.

He added that the company sees a broader role for education around artificial intelligence adoption.

"This funding lets us keep building at that pace, but the thing I'm most proud of isn't the growth number, it's the education. AI doesn't have to be something people fear or don't understand. Done right, it works alongside the people who use it. That's what this round lets us prove, at scale," said Moscatelli.

Investor view

For Updata Partners, the investment reflects demand for artificial intelligence tools that can be deployed within tightly controlled operating environments. Many organisations in regulated sectors have moved cautiously on generative artificial intelligence because of concerns over data handling, oversight, and compliance.

Go.AI's model centres on keeping customer data within internal systems. It also says it charges a fixed fee rather than usage-based token pricing, a structure that may appeal to buyers trying to manage costs more closely.

Updata Partners has more than USD $3.0 billion in committed capital, according to the firm. It focuses on growth investments in business software and software-led companies.

"Go.AI built the AI stack that regulated institutions can actually deploy: software and hardware that live inside the customer's secure environment with no proprietary data going to a third party. All of this at a fixed fee with no per-token surprise costs," said Carter Griffin, General Partner at Updata Partners.

"Go.AI's combination of explosive growth and profitability is exactly what we look for at Updata. We are thrilled to partner with David, Lisa, and the entire Go.AI team," said Griffin.

Expansion plans

The company will use part of the funding to grow its team further. It also plans to expand client advisory and training work to help customers understand how on-premises artificial intelligence systems fit within existing governance structures.

That focus suggests Go.AI is positioning itself not only as a software and hardware supplier but also as a guide for institutions that want to adopt artificial intelligence without moving sensitive data outside their own perimeter. This approach may resonate with banks, healthcare groups, and manufacturers facing stricter scrutiny over where data sits and how automated systems are monitored.

The latest funding round also points to investor interest in artificial intelligence companies with revenue growth and profitability, at a time when many newer businesses in the sector are still loss-making. With more than 200 customers and millions of daily queries already running through client systems, Go.AI enters its next phase with backing from a growth equity investor focused on software businesses.