Manychat Raises $140 Million to Expand AI-Driven Messaging Tools for Businesses
Manychat, a fast-growing AI messaging platform, has secured $140 million in a Series B funding round led by Summit Partners. The startup offers automation tools for managing customer conversations across messaging platforms like Instagram, WhatsApp, Messenger, TikTok, and Telegram.
Manychat’s Growth and Global Reach
Launched in 2015, Manychat currently serves more than 1.5 million users across 170 nations. Among its client list are giant brands like Nike, Yahoo, and The New York Times, as well as smaller companies and solo creators. CEO and co-founder Mike Yan said the platform sends billions of messages every year, enabling users to build conversational experiences that drive engagement.
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He also noted that the company remains close to profitability, often operating at break-even. Before this round, Manychat had raised only $23 million, including an $18 million Series A in 2019 led by Bessemer. The company did not disclose its latest valuation, but it is expected to be significantly higher than the $58 million post-money valuation recorded after the Series A round.
From Telegram Bots to a Leader in Social Messaging
Manychat’s journey began with Telegram, after it became one of the first Western messaging apps to open its APIs. Yan and co-founder Anton Morin realized businesses should shift from email to messaging platforms to reach modern consumers. They initially built tools for Telegram, which gained traction and earned them a spot in the 500 Startups accelerator.
The real turning point came when Facebook opened its Messenger API. By 2019, Manychat was reaching 350 million monthly users, achieving message open rates of up to 80%. Today, Instagram drives the most engagement on the platform, although Telegram remains supported, albeit with lower traffic.
The platform has grown into a no-code solution that helps users automate replies, grow social followers, manage direct messages, and initiate purchase flows. Yan highlighted that the product was designed to prompt user actions—such as signing up or buying—not just chatting, which differentiates it from most generative AI bots available today.
AI Features to Drive Business Results
The new investment will be used to scale Manychat’s global presence and enhance its AI capabilities. Summit Partners’ Sophia Popova, who is also joining the company’s board, said their investment was based on a belief that a growing share of commerce will shift to messaging apps. She emphasized that customers now expect businesses to engage in real time, and believed that Manychat’s platform was meeting that need effectively.
Popova also pointed out that most AI chatbots on the market were not focused on generating revenue through meaningful customer interaction. She believed Manychat’s approach—building tools that engage users in ways that encourage conversion—offered a unique edge.
As the AI chatbot space becomes more competitive, Manychat is preparing to stay ahead by developing features that help businesses convert conversations into outcomes. With its action-driven model and a growing base of users, it aims to remain a leader in the space of conversational commerce.
