Meltwater B.V. has acquired start-up DeepReason.ai, a spin-off from Oxford University’s computer science department, for $7.3m in a combination of cash and Meltwater equity including earn-outs contingent on reaching technical milestones and retention requirements.
DeepReason.ai was established in 2018 and is one of the leading companies within the field of AI known as “reasoning”. Their unique technology is based on the Value Added Data Systems (VADA) research project, which was funded by the UK research council EPSRC.
This work represents 75 years of aggregate research and development experience and is currently overseen by Georg Gottlob, Oxford professor and Fellow of the Royal Society.
Knowledge graphs are AI systems that connect data. Connected data, enriched with meaning, is foundational for answers to complex queries and deriving insights more efficiently.
DeepReason.ai’s great strides in the industry
DeepReason.ai has developed a powerful reasoning engine with an industry-first ability to maintain incremental views of knowledge graphs and has solved the costly challenge of updating and maintaining complex knowledge graphs at scale.
Meltwater ingests and processes over 800 million documents a day, extracting new information on over 14 million companies, 50 million public personas (such as key decision-makers within those companies and social media influencers) and 75 million topics.
Every day, this knowledge graph expands by incorporating 2 billion connections to conversations around these companies, public personas, and topics.
What the acquisition means to Meltwater
Aditya Jami the Chief Technology Officer at Meltwater expounded further on this aspect.
“With the DeepReason.ai acquisition, Meltwater will be in a unique position to continue expanding this knowledge graph to discover even more connections and insights.”
“Meltwater’s search engine has powered the insights and analytics offered to our customers.”
“Meltwater’s reasoning engine will simplify and advance the way that our clients generate insights in our product with capabilities that extend beyond a traditional search engine.”
John Box, the Chief Executive Officer of Meltwater offered additional insights.
“The acquisition of DeepReason.ai, and the integration of their reasoning engine, will allow our customers to make use of our product in new and innovative ways, gaining quick access to new types of insights that are not readily discoverable today.”
Meltwater’s giant strides to further help clients
“Meltwater helps clients to better understand and analyze millions of documents daily.”
“We are therefore continuing to strategically invest in our underlying technology and AI models in order to serve up sophisticated insights in real-time and make our customers both more efficient and better informed to enable more strategic decision making.”
Dr. Stéphane Reissfelder, CEO of DeepReason.ai said, “We are proud to join Meltwater in building one of the world’s largest knowledge graphs of public information.”
“This is the second AI spin-off from Oxford University that Meltwater has acquired, and we are excited about working for a company that appreciates academic research accomplishments and has the knowledge and skills to convert them into commercial applications.”
DeepReason.ai has five full-time and four part-time employees, of which seven hold Ph.D. degrees, who will all join the Meltwater team.
Upon integration, DeepReason.ai’s business is not expected to have a material impact on Meltwater’s 2021 revenue forecast. The DeepReason.ai acquisition will be Meltwater’s fourth acquisition since the company was listed on Euronext Growth Oslo in December 2020.