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This AI Startup Is Taking Over Phone Sales

In this episode of Founder Firesides, YC Managing Partner Jared Friedman talks to the founders of Simple AI (S24), Catheryn Li & Zach Kamran, who just raised a seed round of $14M. Simple AI gives businesses an AI sales agent that handles inbound calls end-to-end and outperforms their human reps. Apply to Y Combinator: https://www.ycombinator.com/apply Work at a startup: https://www.ycombinator.com/jobs

Jared FriedmanhostZach KamranguestCatheryn Liguest
Feb 18, 202637mWatch on YouTube ↗

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  1. JF

    [upbeat music] I'm really excited to be sitting down today with Cat and Zach, the founders of Simple AI. Welcome, guys. Thanks so much for joining us.

  2. ZK

    Yeah. Thanks, Jared. It's good to be back.

  3. CL

    Thanks for having us. It's so fun being on this side of things.

  4. JF

    Before we get started, why don't you tell everyone what is Simple AI?

  5. CL

    So we're building AI voice that sells. What that means is our AI sounds very natural, and it helps businesses handle sales phone calls. It turns out that a lot of major iconic brands still do the majority of their revenue over the phone today. Our AI sits in front of your phone system. When someone calls in, it says, "Hi, thank you for calling XYZ. How can I help you?" And it's able to take you through a journey where it can explain all the products, um, answer your questions about anything, take your billing information, take your shipping information, and handle the entire sales process end-to-end with no human intervention.

  6. JF

    We mentioned there's iconic brands who are using Simple AI. Can you give an, an example or two? Who's, who's using this now?

  7. CL

    Today, Simple AI sells everything from steak to self-storage to home insurance. One of our customers is this brand in the US called Omaha Steaks. They've been around for 100 years. They started as a family butcher's business a century ago, and they sell steak over the phone.

  8. JF

    And this is, like, a big company.

  9. CL

    Big company.

  10. JF

    Okay. And if I call Omaha Steaks now, there's a good chance that, like, Simple AI is gonna pick up and-

  11. CL

    It's not a good chance

  12. JF

    ... take my order.

  13. CL

    If you call the number on their website, it will go to Simple AI.

  14. JF

    That's cool. You guys had a very interesting backstory to how you ended up starting this company. So I wanna rewind back to the beginning now and tell everybody how you ended up starting this startup.

  15. CL

    So Zach and I actually met while working at YC with Jared.

  16. ZK

    [laughs]

  17. CL

    Um, we worked for it together for many years. I ended up running engineering and product for a software team at YC, and I met Zach there. We worked together for three years. I knew this guy was a cracked programmer.

  18. ZK

    [laughs]

  19. CL

    And [laughs] I was like, "I have to work with him."

  20. JF

    I think a lot of people don't realize that YC even has a software team or what it would mean to be a programmer at YC. Like-

  21. CL

    Yeah

  22. JF

    ... that sentence probably makes no sense in a lot of people's brains. So how about you guys just give, like, a couple sentences of context about, like, how it was that you were working at YC as programmers and-

  23. ZK

    Yeah. So YC actually has, like, a, a ton of software, um, s- that all of its founders use. So I was working on a team called the, the Batch Team, and the product we were working on is called Bookface, which is basically like Facebook for all the founders who do YC. And it has a ton of resources, and also is just a place for all the founders to connect and talk to each other and meet other founders.

  24. CL

    I think software is actually a secret weapon of YC's. In order for YC to be able to invest in so many really amazing companies, it-- you really have to have software to even handle applications, and interviews, and legal diligence, and accounting. And taxes are really complicated because YC's portfolio is, like, thousands of startups and who knows what happened to them. They could have died or gotten acquired or went public. Um, and it's all very confusing. So I think software is just, like, really crazy superpower that YC uniquely has. Um, and then YC has all this really cool, unique data and insight. Probably no other institution in the world has as much data as YC does on early-stage startups and how they're formed and how they ended up.

  25. JF

    Yeah. It was awesome getting to work with you guys, and I'm so excited that you decided to branch off and start your own company, which is what we should talk about next.

  26. CL

    [laughs] Yeah.

  27. JF

    So now you guys are running this awesome company called Simple AI.

  28. ZK

    Yeah.

  29. JF

    Can you tell us about it?

  30. CL

    Yeah. I think it was just really hard not to catch the [laughs] startup bug at YC.

Episode duration: 37:13

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