DynamoFL raises $15.1 million in Series A round to help enterprises meet demand for LLM solutions

The proceeds will be put toward expanding the company’s product offerings and growing its team of privacy researchers. "This investment validates our philosophy that AI platforms need to be built with a focus on privacy and security from day one in order to scale in enterprise use cases. It also reflects the growing interest and demand for in-house Generative AI solutions across industries,” said Vaikkunth Mugunthan, Co-founder and CEO, DynamoFL.

The startup born out of a PhD thesis of two Massachusetts Institute of Technology (MIT) electrical engineering and computer science students—Vaikkunth Mugunthan and Christian Lau—is working on making it happen, making AI models respect privacy without compromising a person’s identity. Founded in 2021, DynamoFL uses a new way of training AI models and it is called Federated Learning.

Governments around the world are working to craft regulations to ensure artificial intelligence models are leak-proof when it concerns sensitive user data, be it someone’s bank details or health records. Can AI be safe and compliant with some of the world’s toughest privacy laws—EU’s General Data Protection Regulation (GDPR), California Consumer Privacy Act (CCPA) or the U.S. Health Insurance Portability and Accountability Act (HIPAA)?

Mugunthan had earlier told CNBC-TV18 that DynamoFL’s aim is to enable the deployment of Generative AI models in a cost-efficient manner while still being fully privacy-preserving and regulation-compliant. At present, the startup is working with six large enterprises, some of which are Fortune100 companies in the insurance, finance and automotive space.

The company aims to work with policymakers as well as Indian Financial Services and Fintech companies to help them meet the upcoming compliance standards mandated by the India Digital Act, fostering a safer and more trustworthy digital ecosystem within India. DynamoFL which is headquartered in San-Francisco, has almost 30-35 percent of its team strength based in India and is looking to hire top software engineering talent in India to scale up their ML and Software Engineering teams.