UC Berkeley Dropouts Raise $28M for AI Marketing Startup
▼ Summary
– AI-powered marketing startup Conversion, founded by UC Berkeley dropouts, raised a $28 million Series A led by Abstract, with participation from True Ventures and HOF Capital.
– CEO Neil Tewari’s entrepreneurial journey began in high school when a family friend, later the first investor, encouraged his interest after a school incident.
– The co-founders built Conversion after creating internal marketing tools on top of HubSpot, validated by 160 customer interviews with marketing executives.
– Conversion integrates AI to automate workflows like lead organization and personalized emails, targeting midsize businesses replacing legacy tools.
– The company has grown to nearly $10 million ARR, with founders now living separately after initially sharing cramped housing to conserve funds.
A pair of UC Berkeley dropouts have secured $28 million in Series A funding for their AI-powered marketing automation platform, Conversion, proving that unconventional paths can lead to remarkable success in the tech world. The round was led by Abstract Ventures, with additional backing from True Ventures and HOF Capital, bringing the startup’s total funding to $30 million.
The company’s origin story reads like a Silicon Valley screenplay. Co-founder and CEO Neil Tewari, now 24, first caught the entrepreneurial bug in high school when he was reprimanded for watching a TechCrunch Disrupt livestream during class. Instead of calling his parents, he confided in a family friend, who later became their first investor.
At Berkeley, Tewari teamed up with roommate James Jiao, now Conversion’s CTO, to experiment with various startup ideas. Their breakthrough came when they built internal marketing automation tools to enhance HubSpot’s capabilities. Realizing the potential, they conducted 160 interviews with marketing executives, a move that validated demand for their solution.
Conversion’s AI-driven platform helps businesses automate workflows, personalize outreach, and manage leads more efficiently. Unlike legacy tools that struggle with AI integration, the startup was designed from the ground up with automation in mind. This approach has resonated with mid-sized companies, many of which are replacing outdated systems with Conversion’s technology.
Despite operating in a competitive space dominated by giants like HubSpot and Salesforce, the founders remain confident. Their strategy focuses on businesses already using older marketing tools rather than first-time adopters. The bet appears to be paying off, Conversion is nearing $10 million in annual recurring revenue, with rapid growth over the past two years.
The founders’ scrappy beginnings, living in a cramped apartment with five roommates, contrast sharply with their current trajectory. Now, with fresh funding and expanding operations, they’ve upgraded to their own spaces, leaving the closet-sleeping days behind. As AI continues reshaping marketing, Conversion aims to stay ahead by delivering smarter, more intuitive automation for businesses tired of outdated solutions.
(Source: TechCrunch)