San Francisco-based Distyl AI, a startup enabling Fortune 500 companies to embed AI at the core of their operations, has raised $175 million in a Series B round led by Khosla Ventures and Lightspeed Venture Partners. Additional participation came from Coatue, Dell Technologies Capital, and DST Global, bringing Distyl’s total funding to over $200 million since its founding in 2022.
Established by former Palantir Technologies executives Arjun Prakash and Derek Ho, Distyl AI works with enterprises in industries such as healthcare, telecommunications, insurance, manufacturing, and financial services. Its platform is designed to help organizations reimagine their workflows and processes rather than simply add AI tools on top of existing systems.
“The companies that win in the AI era are those that are willing to reimagine how they operate, not just what tools they use,” said CEO Arjun Prakash. He emphasized that true AI leadership comes from integrating the technology into the very fabric of enterprise operations. “AI leadership will be defined by operationalizing AI at scale and transforming enterprise workflows, not just by the models themselves.”
Since its launch, Distyl AI has already achieved significant traction, reaching over 120 million end users across its client base. The company reported a 5x revenue increase in 2024 and expects an even sharper trajectory, projecting 8x growth in 2025. Such rapid adoption underscores the demand from large enterprises seeking to adapt to the new AI-first landscape.
The fresh capital will be used to deepen Distyl’s AI capabilities, expand customer deployments, and strengthen its workforce as it scales globally. With both technical expertise and strong backing from top-tier investors, Distyl is positioning itself as a key enabler for companies aiming to shift from experimenting with AI to fully operationalizing it across core business functions.
By combining its founders’ Palantir-honed expertise in data-driven decision-making with a forward-looking approach to enterprise AI, Distyl is quickly emerging as a trusted partner for businesses navigating the next wave of digital transformation. With its new funding and ambitious growth plans, the company is well on its way to reshaping how the world’s largest organizations function in the AI era.
