Deal Dive: This AI startup is racking up government customers

Tax evasion, money laundering and other financial crimes are massive, costly issues. In 2021, the Internal Revenue Service estimated that the U.S. loses $1 trillion a year due to tax evasion alone. IVIX thinks AI can help with that.

The Tel Aviv–based startup uses AI, machine learning and public databases of business activity to help government entities spot tax noncompliance, in addition to other financial crimes. IVIX was founded by Matan Fattal and Doron Passov in 2020. Fattal was working at his prior cybersecurity startup, Silverfort, at the time, but when he discovered how large of an issue these financial crimes are — and how governments didn’t have the technology to fight them — he switched gears.

“I was shocked by the magnitude of the problem and the technical gap that they had,” Fattal told TechCrunch+. “State or federal, there are pretty much the same [technological] gaps.”

Three years later, the startup has landed government contracts with federal agencies, including the IRS criminal investigation bureau; made notable hires like Don Fort, the former chief of criminal investigations at the IRS; and raised a $12.5 million Series A led by Insight Partners, which was announced last week.

For most startups it is hard to land a government contract but IVIX has landed multiple inside the U.S. and beyond. Read More TechCrunch

Disclaimer

Innov8 is owned and operated by Rolling Rock Ventures. The information on this website is for general information purposes only. Any information obtained from this website should be reviewed with appropriate parties if there is any concern about the details reported herein. Innov8 is not responsible for its contents, accuracies, and any inaccuracies. Nothing on this site should be construed as professional advice for any individual or situation. This website includes information and content from external sites that is attributed accordingly and is not the intellectual property of Innov8. All feeds ("RSS Feed") and/or their contents contain material which is derived in whole or in part from material supplied by third parties and is protected by national and international copyright and trademark laws. The Site processes all information automatically using automated software without any human intervention or screening. Therefore, the Site is not responsible for any (part) of this content. The copyright of the feeds', including pictures and graphics, and its content belongs to its author or publisher. Views and statements expressed in the content do not necessarily reflect those of Innov8 or its staff. Care and due diligence has been taken to maintain the accuracy of the information provided on this website. However, neither Innov8 nor the owners, attorneys, management, editorial team or any writers or employees are responsible for its content, errors or any consequences arising from use of the information provided on this website. The Site may modify, suspend, or discontinue any aspect of the RSS Feed at any time, including, without limitation, the availability of any Site content. The User agrees that all RSS Feeds and news articles are for personal use only and that the User may not resell, lease, license, assign, redistribute or otherwise transfer any portion of the RSS Feed without attribution to the Site and to its originating author. The Site does not represent or warrant that every action taken with regard to your account and related activities in connection with the RSS Feed, including, without limitation, the Site Content, will be lawful in any particular jurisdiction. It is incumbent upon the user to know the laws that pertain to you in your jurisdiction and act lawfully at all times when using the RSS Feed, including, without limitation, the Site Content.