OpenAI Acquires Convogo Team to Boost AI Coaching Tools
▼ Summary
– OpenAI is acquiring the team from Convogo, a business software platform for leadership assessments, in an acqui-hire to work on its AI cloud efforts.
– The acquisition involves the three co-founders joining OpenAI in an all-stock deal, but does not include Convogo’s intellectual property or technology.
– Convogo’s product will be shut down, ending the service that automated report writing for executive coaches and consultants.
– The Convogo team believes the key to applying AI models effectively lies in creating thoughtful, purpose-built user experiences, which they aim to continue at OpenAI.
– This marks OpenAI’s ninth acquisition in a year, a strategy it uses to accelerate talent and capabilities, typically by integrating or shutting down the acquired products.
OpenAI has started the year by expanding its team through a strategic talent acquisition, bringing on the founders of Convogo. This business software platform specialized in helping executive coaches, consultants, and HR professionals automate leadership assessments and feedback reports. The move is not a purchase of Convogo’s technology or intellectual property, but rather an “acqui-hire” where the three co-founders will join OpenAI to contribute to its AI cloud initiatives. Their existing product will be discontinued as they transition to their new roles.
The startup’s origin story is notably human-centric. It began as a weekend project inspired by a question from co-founder Matt Cooper’s mother, an executive coach. She wondered if an AI tool could handle the tedious work of report writing, freeing her to focus on the interpersonal aspects of coaching she valued most. Over two years, Convogo grew to serve thousands of coaches and formed partnerships with leading leadership development firms.
In a communication about the acquisition, the Convogo team reflected on their core insight. They identified a persistent challenge: bridging the gap between the theoretical potential of new AI models and creating tangible, real-world outcomes for professionals. The founders expressed a strengthened belief that the solution lies in crafting deliberate, purpose-built user experiences. They see joining OpenAI as the ideal opportunity to scale this mission, aiming to make advanced AI both accessible and practical across various industries.
This acquisition represents the ninth such deal for OpenAI in just twelve months, according to available data. The pattern for these transactions is fairly consistent. Typically, the acquired company’s product is either integrated into OpenAI’s broader ecosystem or shut down entirely as the team moves over. For instance, products like the Mac AI interface Sky and testing firm Statsig were folded in, while others, including Roi and Context.ai, were discontinued post-acquisition. The primary exception is the collaboration with Jonny Ive’s io Products, which continues developing its roadmap for a joint AI hardware project.
The Convogo deal underscores a broader competitive strategy. It clearly signals that OpenAI, much like other major players in the tech sector, is actively using mergers and acquisitions as a method to rapidly acquire specialized talent and accelerate internal capabilities. This focus on strategic hiring allows the company to bolster its expertise in key areas without the longer timeline of traditional recruitment and development.
(Source: TechCrunch)
