Whatnot, the livestream shopping platform, has acquired Shaped, a machine learning company specializing in real-time recommendation and search technology. The acquisition aims to strengthen Whatnot's personalization capabilities as it expands across new product categories and its buyer base grows.
TL;DR
- Whatnot acquires Shaped to enhance live commerce personalization with real-time AI recommendations.
- The acquisition brings Shaped's founder and nearly a dozen engineers to Whatnot, forming a new Applied AI Research group.
What happened
Whatnot, the livestream shopping platform, has acquired Shaped, a machine learning company specializing in real-time recommendation and search technology. The acquisition aims to strengthen Whatnot's personalization capabilities as it expands across new product categories and its buyer base grows.
Emmanuel Fuentes, Whatnot's VP of Data and AI, said combining Shaped's technology with Whatnot's existing systems would make recommendations faster and more responsive, addressing the unique challenges of live commerce, where inventory and buyer intent shift continuously during auctions that can last minutes or hours.
Shaped, whose past clients included Outdoorsy and QVC, built technology combining customer data with large language models for personalized search and discovery. As part of the deal, founder and CEO Tullie Murrell, along with nearly a dozen engineers and researchers, will join Whatnot, with Murrell leading a newly formed Applied AI Research group.
Why it matters
The acquisition is a strategic move for Whatnot to enhance its personalization capabilities, which is crucial for its growth and expansion into new product categories. The integration of Shaped's technology is expected to push recommendation latency closer to real time, a significant improvement from the current minutes.
For startups and investors in the AI and e-commerce sectors, this acquisition highlights the increasing importance of real-time personalization in live commerce. It also underscores the value of AI-driven recommendation technologies in enhancing user experience and driving growth.
Key facts
- Whatnot has acquired Shaped, a machine learning company specializing in real-time recommendation and search technology.
- The acquisition aims to strengthen Whatnot's personalization capabilities as it expands across new product categories and its buyer base grows.
- Emmanuel Fuentes, Whatnot's VP of Data and AI, said combining Shaped's technology with Whatnot's existing systems would make recommendations faster and more responsive.
- Shaped's past clients included Outdoorsy and QVC.
- Founder and CEO Tullie Murrell, along with nearly a dozen engineers and researchers, will join Whatnot, with Murrell leading a newly formed Applied AI Research group.
- Whatnot recently surpassed 1 billion orders and raised $225 million in Series F funding at a valuation exceeding $11 billion.
Context
Whatnot's acquisition of Shaped comes at a time when live commerce is gaining traction, with platforms looking to enhance personalization and user experience. The integration of Shaped's technology is expected to push recommendation latency closer to real time, a significant improvement from the current minutes.
For startups and investors in the AI and e-commerce sectors, this acquisition highlights the increasing importance of real-time personalization in live commerce. It also underscores the value of AI-driven recommendation technologies in enhancing user experience and driving growth.