Reducto, an AI document intelligence platform, has closed a $75M Series B funding round led by Andreessen Horowitz. Existing investors Benchmark, First Round Capital, BoxGroup, and YCombinator also participated in the round. This latest investment follows the company’s $24.5M Series A in April 2025 and brings Reducto’s total funding to $108M—all raised in less than a year.

The Series B arrives as Reducto experiences rapid growth in its customer base and processing volume. Since the Series A announcement five months ago, the platform’s monthly processing volume has increased more than sixfold, now handling close to one billion pages of data for some of the world’s leading technical teams.

Building a New Standard for Document Understanding

Founded two years ago by MIT graduates, Reducto has developed a new approach to document processing. The platform combines traditional optical character recognition (OCR) with modern Vision-Language Models (VLMs), allowing systems to interpret documents the way humans do. This foundation has enabled the company to release advanced features for parsing, splitting, structured document extraction, and what it describes as the industry’s first AI document editing API.

“Documents contain some of the most valuable data in most industries—from healthcare to finance to logistics. Yet until now, they’ve been a bottleneck for making AI useful for real enterprise use cases. Our vision is to build the trusted layer that connects messy, real-world data with language models—so that AI can reason over the world as it really is, not just the text that’s clean and easy.”

Adit Abraham, co-founder and CEO of Reducto

The platform now serves a diverse customer base that spans AI-native startups like Harvey, Rogo, and Scale AI, as well as global financial institutions and Fortune 10 enterprises. These organizations use Reducto for complex, mission-critical document workflows—converting PDFs with redlines to text in legal processes, extracting intricate charts for financial due diligence, or pulling figures from medical documents for high-stakes healthcare decisions.

Deploying Capital for Research and Market Expansion

The fresh capital will accelerate development across model research and product capabilities while scaling adoption among both enterprise clients and emerging AI teams. Reducto plans to continue advancing its accuracy and expanding the frontier of document intelligence technology.

The company is also introducing a new flexible pricing structure designed for startups and innovators. This move aims to make the same infrastructure used by leading enterprises accessible to early-stage teams and researchers, lowering barriers to entry while positioning Reducto as a long-term partner as these companies scale.

From Research Lab to Enterprise Infrastructure

Reducto’s platform powers the complete lifecycle of unstructured data, creating LLM-ready inputs for any use case. These capabilities are available through both a developer-friendly API and Reducto Studio, an interactive workspace where teams can build, evaluate, and deploy pipelines.

“Our current customers love us for our best-in-class accuracy, and we intend to continue pushing the frontier of document intelligence for them.”

Raunak Chowdhuri, co-founder and CTO of Reducto

The company’s technology addresses a persistent challenge in AI implementation: turning complex, real-world documents into structured data that language models can process reliably. This becomes particularly important in regulated industries where accuracy isn’t negotiable.

Strong Backing from Leading Venture Firms

The investment round reflects growing confidence in Reducto’s market position and technology. Jennifer Li, General Partner at Andreessen Horowitz, highlighted the company’s technical foresight and execution.

“Reducto has become a magic ingredient that modern AI companies build with when it comes to large scale document workloads. The team not only anticipated the rise of vision language models, they’ve continuously pushed the field forward with first-party research, elegant product experience and robust infrastructure that enterprise customers love.”

Jennifer Li, General Partner at Andreessen Horowitz

Benchmark, which participated in previous rounds, continues to see significant potential in Reducto’s trajectory. Chetan Puttagunta, General Partner at Benchmark, emphasized the company’s market timing.

“Reducto is at the inflection point every ambitious builder dreams of—where the technology is proven, the market demand is exploding, and the opportunity to make an impact is massive. If you’ve ever wanted to join a company right as it defines a new category, this is that moment. Reducto is becoming the indispensable infrastructure layer for AI, and the people who join now will help shape how the world’s most important industries adopt this technology.”

Chetan Puttagunta, General Partner at Benchmark

Having processed over one billion pages for leading enterprises and secured $108M in funding, Reducto positions itself as a standard-bearer for AI document intelligence. The platform’s ability to handle sensitive documents like medical records and financial statements with production-level accuracy has made it a go-to solution for organizations where precision matters most.

Origianl Creator: Ekaterina Pisareva
Original Link: https://justainews.com/companies/funding-news/reducto-secures-75m-led-by-andreessen-horowitz/
Originally Posted: Tue, 14 Oct 2025 16:51:54 +0000