Solve Intelligence Secures $12M Funding to Integrate AI into IP and Patent Workflows

Legal technology has made significant strides, yet much of the day-to-day work for intellectual property and patent lawyers still involves spreadsheets, word processors, and PDFs. Enter Solve Intelligence, a Delaware-based startup that's shaking things up with generative AI, designed specifically for the intricate world of patent law where both domain expertise and legal knowledge are crucial.

Solve offers an innovative in-browser document editor that mirrors the functionality of Google Docs, but with a twist—it's powered by AI to assist attorneys in drafting and managing IP-related documents and patent filings. The AI isn't just a helper; it's a powerhouse capable of aiding with patent drafting, responding to office actions, creating claim charts, and enhancing invention disclosures.

The company recently secured $12 million in a Series A funding round, spearheaded by 20VC, to amplify its growth. This influx of capital comes on the heels of impressive traction, a broadening customer base, and rising revenues. Chris Parsonson, Solve's co-founder and CEO, shared with TechCrunch that their product is now utilized by 200 IP teams spread across the U.S., Europe, and Asia. This impressive reach includes big names like Siemens, Avery Dennison, and law firms such as DLA Piper and Finnegan—all achieved without a single sales or marketing employee.

Parsonson boasted that Solve has achieved millions in annual recurring revenue, with a staggering 25% month-on-month growth since launch. The two-year-old startup has also turned profitable, with more cash in the bank than the $3 million seed funding it raised at inception in 2023. This success isn't just due to the increasing acceptance of AI in legal departments but also thanks to advancements in AI technology, allowing Solve to refine its product significantly.

“Eighteen months ago, building software for patent workflows was a pipe dream. Now, it's our reality,” remarked co-founder and chief research officer Sanj Ahilan. The team has developed unique evaluations and algorithms to elevate the output from generic AI models like ChatGPT to professional-grade legal content.

With the fresh capital, Solve plans to expand its product offerings, increase its workforce, and establish a new office in New York this year. Currently, the company employs 15 people and aims to hire 20 more over the next year. Notable investors in this round include Microsoft's Venture Fund (M12), Thomson Reuters Ventures, and Y Combinator, bringing Solve's total funding to $15 million.

Part of the new funds will fuel R&D efforts in life science applications. Parsonson mentioned ongoing collaborations with major pharmaceutical companies and law firms to enhance their patent drafting and prosecution tools, particularly for sequence listing and patents. “We're set to ramp up our R&D to develop more specialized features for our life science clients,” Parsonson told TechCrunch. Additionally, the company plans to broaden its product suite to include freedom-to-operate analysis, claim chart licensing and litigation, as well as tools for patent portfolio analysis and management for in-house IP teams.

While Solve faces competition from the likes of PatSnap, IPRally, HarveyAI, and Casetext (now part of Thomson Reuters following a $650 million acquisition in 2023), Parsonson believes Solve's edge lies in its AI output quality, customization capabilities, and user experience.

“Each patent attorney has their unique drafting style, and our platform allows them to tailor the AI to match their preferences, switching styles as needed for different jurisdictions, technology fields, and clients,” Parsonson explained. He highlighted that users can develop their own proprietary library of customized AI styles, making Solve's tool incredibly versatile.

Moreover, strategic partnerships with investors like Microsoft and Thomson Reuters are set to propel Solve forward. “Legal workflows are intricately tied to Microsoft products like Word. Our partnership with Microsoft will allow us to enhance our integrations, making our AI even more accessible and effective,” Parsonson added.