Arbolus Secures $6M Funding to Apply ML to Expert Knowledge

The Evolving Landscape of Expert Networks

Initially, utilizing online networks comprised of subject matter specialists was a largely manual process. However, the application of machine learning is significantly increasing the efficiency of this business model. The demand for external expertise is substantial, with approximately $60 billion spent annually in the U.K. alone.

Key Players and Recent Investment

Prominent companies operating in this sector include GLG, Third Bridge, Guidepoint, and AlphaSights. Recently, proSapient secured $18 million in funding to further develop its SaaS platform designed for managing these expert networks.

Arbolus Secures Funding

Barcelona-based Arbolus has successfully raised $6 million in a funding round spearheaded by Fuel Ventures, a U.K.-based early-stage venture capital firm, with additional investment from Plug and Play Ventures.

Rapid Growth and Expansion

Established three years ago, Arbolus reports a 7x year-over-year growth rate. The company now maintains offices in both Barcelona and New York. Furthermore, Pau Beltran has been appointed as the Chief Technology Officer, bringing experience from companies such as Disney, eDreams, and OneMind.

Leveraging AI for Knowledge Management

Arbolus’ core approach, termed “enterprise knowledge,” centers on the implementation of natural language processing and an AI-driven infrastructure within its platform.

Platform Functionality

The platform facilitates the capture of expert interview recordings, automatically transcribes them, and then distributes this knowledge to subscribing companies. This functionality mirrors a feature also offered by proSapient.

Revenue Model

Companies access the platform by paying usage fees, granting them access to the available toolsets. Additionally, Arbolus generates revenue through transaction fees levied on payments made to independent experts facilitated through the platform.

CEO Statement on Value Proposition

According to Sam Glasswell, CEO and co-founder of Arbolus, “Access to pertinent information provides a competitive advantage, but relying solely on one-hour consultations with experts often fails to deliver sufficient value. These interviews are frequently confined to a single department, with findings often relegated to PowerPoint presentations or reports, resulting in a limited, short-term perspective.”

Fuel Ventures' Perspective

Mark Pearson, managing partner at Fuel Ventures, commented: “Arbolus has achieved remarkable progress within its first two years, demonstrating the entrepreneurial drive of Sam and Will, bolstered by their prior experience in scaling a $1 billion company.”

Client Base

Arbolus currently serves over 80 clients, including major firms like KPMG, as well as innovative startups such as UiPath.

Origins and Location Strategy

Prior to founding Arbolus, Sam Glasswell and Will Leeming operated an expert agency, identifying a significant loss of valuable knowledge within expert networks due to inadequate capture methods. They strategically chose Barcelona as the company’s base to attract skilled talent and benefit from the advantages of being located within the European Union.

Barcelona as a Talent Hub

Glasswell explained: “Barcelona provides an excellent office environment, a strong team, and is a truly appealing city. We are able to attract exceptional talent from around the globe; people are eager to relocate to Barcelona. This has undoubtedly been a key factor in our success. Being within the EU trading bloc is also beneficial, allowing us to build a more diverse team.”

The Future of Work and the Gig Economy

The evolving nature of work increasingly relies on the utilization of external experts by companies. Similar to how the gig economy has impacted traditional services like pizza delivery, it is now reshaping the knowledge economy.