Country for PR: Japan
Contributor: Kyodo News JBN
Wednesday, June 21 2023 - 17:00
AsiaNet
Japanese Startup FLUX Raises $32M Series B for No-code AI Platform
TOKYO, June 21, 2023 /Kyodo JBN-AsiaNet/ --

- New Funding Follows Rapid Growth of Enterprise-focused AI Tools, with 1,100+ 
Customers Using FLUX Products -

FLUX Inc., Japan's leading AI platform developer, announced 4.4 billion JPY 
(approximately US$32 million) in Series B funding led by DNX Ventures, and 
including existing investor Archetype Ventures and new investors Japan 
Co-Investment, Aozora Corporate Investments, Salesforce Ventures, Sony 
Innovation Fund, SMBC Nikko Securities, and NTT Docomo Ventures.

This additional funding brings FLUX's total funds raised to 5.6 billion JPY 
(approximately US$40 million), and accelerates FLUX's continued development of 
FLUX AI -- a no-coding AI platform.

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Market Overview
FLUX AI allows businesses to easily leverage AI technologies such as predictive 
analytics, natural language processing (NLP) and large language models (LLMs), 
without requiring any prior coding skills or knowledge.

In recent years, the business environment has been rapidly changing due to the 
emergence of AI technologies such as LLMs and generative AI. Despite these 
advancements, many companies in Japan struggle to adopt AI technologies into 
their businesses due to a lack of expertise and talent needed to understand and 
implement them. In order to tackle these challenges, FLUX has formed a team of 
experts to carry out in-depth research and service development within the AI 
technology field.

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No-code AI platform FLUX AI
FLUX AI is an AI platform that underpins several no-code solutions that allow 
businesses to easily incorporate AI technologies into their operations.

When developing solutions that include optimization or predictive analytics 
capabilities, it generally takes a significant amount of time and development 
cost to structure the available data in a way that the AI can use it. FLUX is 
able to efficiently develop AI-based solutions because every solution is built 
on the same FLUX AI architecture.

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FLUX collects over 100TB of data each month across its services, which are 
stored in a common database. Those data are used to train its models to 
increase performance for each service, while maintaining compliance with data 
governance best practices and privacy regulations. 

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Over 1,100 publishers and advertisers are using FLUX services, with enterprise 
customers making up the largest customer segment. Throughout the past few years 
of rapid growth, the churn rate across FLUX services has stayed low at 0.2%, 
indicating strong customer satisfaction.

Growth strategy and use of funds
FLUX will leverage the funds raised for three primary purposes to fuel its 
continued growth in the Japanese B2B software market. 

1. Enhancement of current products
FLUX AI's applications today focus on digital advertising and marketing, with 
solutions for optimizing ad revenue, ad operations, and online audiences. 
Development will continue on each of these services to further improve their 
effectiveness and maximize ROI to customers. New features in development 
include the use of generative AI for marketing applications such as generating 
ad creatives and content. FLUX will continue to provide a range of services 
that help to solve various challenges within the advertising and marketing 
industry.

2. Horizontal expansion
FLUX aims to leverage the FLUX AI platform to bring the benefits of AI to 
functions beyond advertising and marketing. There are many other business 
functions which could be made simpler or more efficient through leveraging AI, 
and FLUX will continue to develop simple solutions for its clients to increase 
productivity and decrease operational costs. 

3. AI research
Since its founding, FLUX has conducted research on AI technologies ranging from 
predictive analytics to NLP and LLMs. The Series B funding will accelerate 
these research efforts as well as enabling hiring of more AI engineers. 

Series B participants
- Existing investors : DNX Ventures, Archetype Ventures
- New investors: Japan Co-Investment, Aozora Corporate Investments, Salesforce 
Ventures, Sony Innovation Fund, SMBC Nikko Securities, and NTT Docomo Ventures
- Debt financing: Resona Bank, Shoko Chukin Bank

About FLUX
FLUX is a venture-backed startup which develops no-code AI platform FLUX AI. 
Several no-code solutions are based on FLUX AI, each of which enables 
businesses to leverage AI in their operations. FLUX's mission is to maximize 
ROI for its clients by simplifying technology.

URL: https://flux.jp/en/


Source: FLUX Inc.