ElevenLabs has doubled its valuation to a mammoth $22 billion in a $300 million secondary share sale.
The firm, founded in London in 2022 by Polish entrepreneurs Mati Staniszewski and Piotr Dabkowski, develops AI tools that generate lifelike synthetic voices used in areas including customer service, text-to-speech and dubbing.
It has scaled rapidly to hundreds of millions of annual recurring revenue. Alongside its text-to-speech models, it has built a full interaction platform for AI – allowing organisations to deploy conversational agents, connected to their knowledge and systems, that interact naturally in any industry, geography or context.
This shift is driving much of its growth, ElevenLabs says, with enterprise now accounting for 55% of its revenue as businesses adopt ElevenAgents to support their customers and employees.
It claims its technology is now used in daily operations at five of the world’s 10 largest tech companies, five of the 10 largest insurers, and four of the 10 largest telecoms firms.
The firm’s $22bn valuation is double the figure it achieved at Series D in February, while previous funding rounds last year valued it at $6.6bn and, before that, $3.3bn.
The latest round was led by long-term institutional investors Wellington and T. Rowe Price.
It also saw EQT, Goldman Sachs, GIC, OTPP, Sapphire Ventures, and BDT & MSD invest in ElevenLabs for the first time, alongside existing investors including Andreessen Horowitz, Lightspeed, ICONIQ, D.E. Shaw, Evantic, DISRUPTIVE, and Alkeon.
“AI should interact with people the way we interact with each other,” said Mati Staniszewski, co-founder and CEO of ElevenLabs. “Getting this right will help ensure AI diffuses widely across the economy, and everyone is able to shape and benefit from it, regardless of technical skill.
“We’re already seeing rapid adoption of expressive voice agents by enterprises and governments, who are deploying them in service of consumers and citizens. As we grow, it’s important to us to let our people share in some of the value they are creating for our customers and the wider world.”
ElevenLabs agents now handle more than 15m conversations every week, up 3x since February, resolving issues like handling refunds and exchanges, renewing insurance policies, upgrading phone plans, booking healthcare appointments, and accessing public services. Over the same period, ElevenAgents’ ARR has increased more than 3x.
The firm now employs more than 800 people.
“As ElevenLabs has grown its conversational agent business, the combination of research, product, and deployment has proved an important structural advantage,” said Emma Norchet at T. Rowe Price.
“The team is able to make improvements at every layer of the stack, allowing them to execute at high velocity and deliver immediate value for its enterprise clients. The rapid growth of ElevenAgents is a testament to this.”