Spyne, an AI-powered visual merchandising platform for the automotive industry, has raised $16 million in a Series A funding round led by Vertex Ventures.
The round also saw participation from existing investors, including Accel, Storm Ventures, and Alteria Capital, which doubled down on their investments in the startup.
The funds raised will be used for expanding its presence in the US and developing its next-generation AI solutions designed to transform automotive retail. Spyne is establishing a dedicated U.S. business development team, led by an experienced country head, alongside a team of account executives and customer success professionals.
Spyne plans to expand its dealer base from 1,500 to over 20,000 rooftops worldwide in the coming years. The fresh capital will enable the company to enhance its AI-powered platform, broaden its technology infrastructure, and expand into new international markets, including high-growth regions across EMEA and APAC.
Sanjay Varnwal, Co-Founder and CEO of Spyne, said, “This investment marks a pivotal moment for Spyne as we accelerate our U.S. expansion and push the boundaries of what AI can do for automotive retail. Our vision is to make digital vehicles showcasing smarter, faster, and more immersive for dealerships worldwide. We’re thrilled to have Vertex Ventures on board, alongside the unwavering support of our existing investors Accel and Storm, as we build a category-defining Retail AI platform for the industry.”
Piyush Kharbanda, General Partner at Vertex Ventures SEAI, said, “At Vertex, we have had a longstanding thesis around specialized AI Applications solving vertical use cases. Spyne has proven this in solving a fundamental pain point for auto dealerships leveraging AI to optimize vehicle merchandising and retail operations at scale. We are excited to lead Spyne’s Series A and support their journey as they transform how cars are bought and sold online and scale to be a standout market leader in the space.”
Pratik Agarwal, Principal at Accel, said, “Spyne’s decision to focus on vertical SaaS for auto has been a masterclass in execution—turning a moving ship while continuing to scale. The team’s resilience in solving GTM, combined with their capital-efficient approach, has brought them close to profitability. More importantly, we’ve witnessed firsthand the founders and management team evolve, deepening our conviction in their ability to execute on an ambitious, transformative vision for the industry. With an industry-leading product and roadmap, Spyne is poised to redefine how auto commerce operates globally, and we’re excited to continue supporting their journey.”
Founded in 2020 by Sanjay Varnwal and Deepti Prasad, Spyne’s Generative AI-powered solutions are designed to transform car visuals into premium studio visuals. Dealerships & marketplaces across the US & Europe, are able to better engage their online visitors, driving greater customer showroom visits, and eventually sales.
Spyne is evolving beyond its core visual merchandising capabilities to build a unified GenAI and LLM-powered Automotive Retail Suite. This comprehensive solution will empower small and medium-sized dealers by addressing every aspect of their retail journey — from vehicle sourcing and pricing to digitization, distribution, and AI-driven customer management, transforming how dealerships will operate using Agentic AI.
Over the past 15 months, Spyne claims to have experienced 5X growth and is targeting an ambitious 3X revenue increase in FY 2025-26.
