Otto, an AI-powered startup focused on business travel, has raised $6m in a seed funding round.
The company, which is developing an intelligent and autonomous AI travel assistant for business travellers, aims to simplify the travel experience.
The funding round was led by Madrona Ventures, with additional backing from Direct Travel and several angel investors from the business travel industry.
Notable participants include Erik Blachford, former CEO of Expedia, Barney Harford, former CEO of Orbitz and COO of Uber, and Hugh Crean, CEO of Operix and former CEO of Farecast.
Otto’s mission is to provide an AI travel assistant that plans, books, and supports users throughout their journeys. The service learns travellers’ preferences, including favourite airlines, specific flights, and preferred hotels, to create a tailored experience.
Otto is designed to assist unmanaged business travellers—those who don’t have corporate travel partners—by integrating with key industry service providers such as Spotnana and Direct Travel.
The new funding will help Otto continue to develop its AI platform and expand its integration with business travel service providers.
The company intends to further enhance its capabilities in real-time travel support, helping users manage flight changes or other disruptions while in transit.
Steve Singh, founder of SAP Concur and managing director at Madrona Ventures, played a significant role in the creation of Otto through Madrona Venture Labs. Singh led the investment and will serve as Executive Chairman at Otto.
Michael Gulmann, Otto’s founder and CEO, brings over a decade of experience in the travel industry, previously holding senior positions at Expedia and Egencia.
Singh said, “The advent of AI is going to bring massive changes to the travel industry. We are excited to apply our deep understanding of the infrastructure of the travel industry to help build an AI agent for frequent business and leisure travelers who today are either scheduling their own trips or working with a trusted human executive assistant to do so.”
Gulmann added, “We are thrilled to partner with Madrona and Steve, who bring deep expertise and experience in the travel industry and enterprise software. With a Spotnana integration and a partnership with Direct Travel, Otto is set to transform the way business travelers plan and book their trips. By providing a personalized, convenient, and smart travel assistant that understands their needs and preferences, Otto is ushering in a new era of travel.”
This is Otto’s first disclosed funding round.
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