Israeli AI startup BeyondMinds informed its 65 workers on Sunday that the company is closing and that they would be fired off.
BeyondMinds was informed on Sunday that a potential sale of the company it was investigating had fallen through due to market conditions and a general slowdown in personnel recruiting.
The investors asked CEO and co-founder Rotem Alaluf to sell the company as the board did not believe the company would be able to complete another fundraising round.
Will you offer us a hand? Every gift, regardless of size, fuels our future.
Your critical contribution enables us to maintain our independence from shareholders or wealthy owners, allowing us to keep up reporting without bias. It means we can continue to make Jewish Business News available to everyone.
You can support us for as little as $1 via PayPal at firstname.lastname@example.org.
Alaluf disagreed with the board’s decision, so he resigned as CEO and co-founded a new firm with other BeyondMinds employees called Wand.ai. The new startup is in stealth mode.
Following Alaluf’s resignation, co-founder Roey Mechrez become the CEO in an effort to safeguard workers’ employment and investors’ funds.
BeyondMinds’ AI platform enables large enterprises to rapidly and extensively incorporate AI technologies. Its clientele includes Microsoft, Samsung, and KPMG, as well as big enterprises in the defense and finance sectors.
The company received $15 million in November 2020, series A round in November 2020 led by Dov Moran’s Grove Ventures. But the company was unable to hold on while the tech market’s fall, and since it could not find a buyer.
The remaining funds were withdrawn by Grove Ventures.
BeyondMinds was formed by Alaluf, Or Kremer, and Roey Mechrez. The firm was founded at the end of 2018 and ran in its first year without obtaining external capital.