I am thrilled to announce the successful sale of Foundation Capital Fund 9 and Leadership Fund 3 portfolio company EvolutionIQ. This is a huge moment for co-founders Mike Saltzman, Jonathan Lewin, Tomas Vykruta, and the exceptional team at EvolutionIQ, and we’re proud to have played a part in their journey. 

I first invested in EvolutionIQ’s seed financing in 2019 alongside First Round Capital. Three years later, we got OpenAI’s “ChatGPT moment”—broadly demonstrating the revolutionary power of AI and creating a frenzy of venture funding in AI companies. But at Foundation Capital, we’ve been investing in AI for over a decade. Tomas, EIQ’s co-founder, had been working at an advanced AI lab within Google, so we shared an understanding of AI’s potential impact well before most VCs even had this on their radar. This experience gave the team at EIQ the technical firepower to build, launch, and put into production AI technology before the AI craze (our portfolio founders were in for a treat when Tomas shared his technical insights at our Fintech x AI Portco Summit last year!). 

Our thesis in insurance, then and now, is simple: we knew AI was poised to transform all aspects of the insurance process, from product development, underwriting, and pricing to claims management, distribution, and sales. Yet, most insurance companies were (and are still to this day!) facing AI with no idea how to engage with this paradigm-shifting technology. Companies like EvolutionIQ (and others in our portfolio like Fairmatic, Insurate, and Sedric) are desperately needed to fill this R&D gap in the insurance industry. 

The insurance industry is fraught with inefficiencies across claims management – insurers typically randomly sample outstanding claims for human review, wasting claims adjusters’ valuable time on non-urgent cases while letting those with time-sensitive tasks fall through the cracks. As a result, it takes injured workers longer to get better and back to work. EvolutionIQ brings a deep understanding of the industry and has built technology that enables patient advocates to focus on the highest-impact cases and tasks, creating a win-win scenario that is both better for workers and insurers. The company is now revolutionizing how disability insurance carriers manage claims, setting new standards for accuracy, efficiency, and scalability. 

Since the initial seed investment, I’ve participated in every subsequent funding round, working closely alongside EvolutionIQ as a board participant and trusted partner. The company has continued to execute, significantly expanding its customer base and product line, now covering workers’ compensation insurers. EvolutionIQ has grown from idea to undisputed industry leader. 

This outcome is a testament to the hard work of the entire EvolutionIQ team. I couldn’t be prouder of their achievements and am honored to have been a part of their journey. While this exit marks the conclusion of one chapter, it also signals the beginning of an exciting new phase for EvolutionIQ as they continue to scale their impact, now with the power of CCC’s broader platform.

To the entire EvolutionIQ team: congratulations on this incredible achievement. Thank you for allowing us to be part of your journey, and here’s to the success still to come as part of the CCC family.