FairNow, which makes software for AI governance and regulatory compliance, has raised $3.5 million in a seed round, according to a Reg D filing. Of the amount raised from 17 investors, $2.4 million constituted new capital investment, while $1.1 million was “accounted for by the conversion of certain outstanding convertible securities,” the company said in the filing.
The Mclean, Va., startup was founded last year by former McKinsey and Capital One executive Guru Sethupathy. It helps companies get a 360-degree view of AI use, helping them assess risks and potential biases, as well as ensure compliance with global rules governing use of artificial intelligence.
Bringing Clarity
In an interview to Technical.ly last year, Sethupathy said he started FairNow after determining that few companies knew if their technologies were biased or fair.
“FairNow, was built to help employers while protecting the rights and privacy of individuals,” Sethupathy told Kieran Powell of Channel V Media in an interview in April. “Our mission is to simplify AI governance, protecting organizations and individuals by promoting fairness, accountability, and responsible AI. As more and more employers begin to harness AI in high-risk categories such as hiring, employment, lending, and healthcare, we are building technology to ensure that AI governance keeps up with the innovation.”
Commercial Real Estate
MacKenzie Companies
Advertising / Media / Communications / Public Relations
Nevins & Associates
Financial Services / Investment Firms
Chesapeake Corporate Advisors
Commercial Real Estate
Monday Properties
Venture Capital
Blue Delta Capital Partners
Internet / Technology
Foxtrot Media
Sethupathy received a BS in computer science from Stanford University, and a PhD in economics from Columbia University, where he studied AI’s impact on the workforce. For three years, he was assistant professor of economics at the Johns Hopkins School of Advanced International Studies.
Winning Trust
At McKinsey, Sethupathy helped corporate clients develop transformative strategies by leveraging data, analytics and machine learning. At Capital One, he led the People Analytics, Technology, and Strategy division, and built AI-based simulation technology to assess consumer behavior.
“For this technology to become prolific in all different spaces that it can be used, people are going to have to trust it, and the way to build trust is to demonstrate that it’s fair, it’s compliant, it’s not a black box and it’s effective,” Sethupathy told Technical.ly. “And those are the components of our framework.”
