Netomi, the San Francisco-based AI customer service startup, on Thursday announced a $110 million funding round led by Accenture Ventures, with participation from Adobe Ventures, WndrCo, Silver Lake Waterman, NAVER Ventures, Metis Strategy, and Fin Capital. The round brings Jeffrey Katzenberg, managing partner of WndrCo and co-founder of DreamWorks, to the company’s board.
According to VentureBeat, the funding builds on early backing from AI luminaries including OpenAI co-founder Greg Brockman, Google DeepMind co-founder Demis Hassabis, and Microsoft AI CEO Mustafa Suleyman.
Enterprise AI Market Intensifies
The Netomi deal highlights an emerging divide in enterprise AI between companies that can demonstrate real-world functionality in complex business environments versus those that primarily excel in demonstrations. This distinction becomes critical as large enterprises demand AI systems that work within their heavily governed, regulated operational frameworks.
Competitor Sierra, led by former Salesforce co-CEO Bret Taylor, raised $350 million at a $10 billion valuation in September 2025 and has completed three acquisitions in 2026 alone. The competitive landscape demonstrates significant investor appetite for AI solutions that can handle enterprise-grade customer service operations.
Netomi’s platform focuses on automating customer service interactions while maintaining the governance and compliance standards required by large corporations. The company serves enterprise clients across multiple industries, positioning itself as a solution for businesses seeking to deploy AI without compromising operational integrity.
Legal AI Competition Escalates
In the legal AI sector, Swedish startup Legora reached a $5.6 billion post-money valuation following a $50 million Series D extension, according to TechCrunch. NVIDIA’s corporate VC arm NVentures participated in the round alongside Atlassian and other investors, marking the chip giant’s first legal AI investment.
The funding comes one month after Legora’s $550 million Series D round, during which the Y Combinator alum crossed $100 million in annual recurring revenue. The company now serves more than 1,000 law firms and in-house legal teams across 50 markets, including major firms like Bird & Bird, Cleary Gottlieb, and Linklaters.
Legora’s valuation trails competitor Harvey, which reached $11 billion last month when Sequoia Capital tripled down on its investment. Harvey claims 100,000 lawyers across 1,300 organizations as customers, including global law firms like Hengeler Mueller and Latham & Watkins, plus corporate legal teams at T-Mobile and Bridgewater.
Apple Accelerates AI R&D Spending
Apple’s research and development investments hit 10.3% of revenue in the March quarter, marking a significant increase as the iPhone maker ramps up AI capabilities. CNBC reported the spending surge reflects Apple’s “sense of urgency” around new AI products, according to Gene Munster, managing partner at Deepwater Asset Management.
The elevated R&D spending brings Apple closer to other megacap technology companies in terms of research investment ratios, though the company maintains a different approach to capital expenditures compared to cloud infrastructure-heavy competitors like Microsoft and Google.
Apple’s AI strategy focuses on on-device processing and privacy-preserving technologies, differentiating its approach from cloud-based AI services offered by competitors. The increased R&D spending signals Apple’s commitment to developing proprietary AI capabilities across its product ecosystem.
Infrastructure Partnerships Drive AI Growth
NVIDIA announced a strategic partnership with Corning for optical fiber technologies, with Corning opening three new U.S. manufacturing plants dedicated entirely to optical solutions for NVIDIA. CNBC reported the collaboration addresses growing infrastructure demands from AI workloads requiring high-speed data transmission.
Corning shares have gained more than 250% over the past year, boosted by infrastructure deals including a recent agreement with Meta worth up to $6 billion. The NVIDIA partnership represents another major contract for the glass and optical fiber manufacturer as AI companies build out data center capabilities.
The partnership highlights the critical role of physical infrastructure in supporting AI advancement. As AI models grow larger and require more computational resources, the need for high-performance networking and optical connectivity becomes essential for data center operations.
Platform Evolution and AI Integration
Uber CEO Dara Khosrowshahi discussed the company’s expansion into a broader travel platform, including hotel booking partnerships with Expedia and new services like in-car refreshments and personal shopping. The Verge reported Khosrowshahi’s comments during the company’s annual GO-GET event in New York.
The platform expansion comes as AI companies develop chatbots capable of booking transportation and other services, potentially disintermediating traditional apps. Khosrowshahi indicated openness to AI partnerships while emphasizing Uber’s focus on owning key parts of the user experience.
Uber’s evolution toward an “everything app” reflects broader trends among platform companies seeking to expand beyond core services. The company’s AI integration experiments include partnerships with various chatbot providers, though results remain limited according to Khosrowshahi’s previous statements.
What This Means
The funding activity across enterprise AI, legal tech, and infrastructure partnerships demonstrates continued investor confidence in AI applications with clear revenue models and enterprise adoption. Netomi’s $110 million round and Legora’s $5.6 billion valuation show that specialized AI solutions for specific industries can command significant valuations when they demonstrate real-world deployment success.
Apple’s increased R&D spending signals that even the most valuable technology companies recognize the need to accelerate AI development to remain competitive. The company’s approach of building proprietary, privacy-focused AI capabilities contrasts with the cloud-first strategies of competitors but requires substantial research investment.
The NVIDIA-Corning partnership underscores how AI advancement depends not just on computational hardware but also on supporting infrastructure like high-speed optical networks. These infrastructure investments suggest continued growth in AI workloads requiring massive data center connectivity.
FAQ
What makes Netomi different from other AI customer service companies?
Netomi focuses specifically on enterprise-grade deployments that work within heavily regulated business environments, rather than just demonstrating AI capabilities in controlled settings. The company emphasizes governance and compliance features required by large corporations.
How does Legora compare to Harvey in the legal AI market?
Legora reached a $5.6 billion valuation and serves over 1,000 law firms, while Harvey achieved an $11 billion valuation with 100,000 lawyers across 1,300 organizations. Both companies target similar markets but Harvey currently has broader customer reach.
Why is Apple increasing R&D spending so dramatically?
Apple’s R&D spending hit 10.3% of revenue as the company accelerates AI development across its product lineup. This represents a “sense of urgency” to develop competitive AI capabilities while maintaining its focus on on-device processing and privacy.
