Baroscope: Nocode raises $247.5 million in Q3 2023

In the third quarter of 2023, funds raised by Nocode start-ups were down on the previous quarter and on the same period last year.

Despite this drop, the number of young and more mature projects funded is balanced. The 7 projects in the development phase garnered 10.64% of funding, while the 8 most mature projects garnered 89.65% of the sums raised in series A, B and C.

Companies offering Nocode solutions associated with artificial intelligence dominated the third quarter, followed by companies building code-free websites, notably boosted by the fund-raising of Dutch solution Framer.

3rd quarter 2023 raises $247.5 million

July 2023 is the month with the highest number of fundraisings, with 6 for a total of $64.25M raised. 

The main fund-raising in July was that of the American company Hightouch, which raised $38 million. This is a platform that enables marketers to use data directly from a "data warehouse" thanks to code-free tools.

The American company Spline, a code-free design tool for the creation of 3D elements, raised $15M. This sum will be used mainly for research and development, and to strengthen the team, bringing it up to 20 people.

One French company is present this quarter. Paris-based startup Juno, recognized as one of the most innovative SaaS solutions in Industry 4.0, has raised $3 million. The aim of this round of funding is to expand functionality by integrating technologies such as machine learning and AI, while seeking to expand its international presence.

August saw the lowest amounts raised this quarter, with $54.25 million raised. These funds were raised by five companies, three of them American and two European, mainly thanks to the $25 million raised by the American company, Ikigai.

‍San-Francisco-based Ikigai announces a $25 million Series A funding round. With this new capital, it plans to grow its team from 30 to 70 people by the end of the year. The company specializes in data processing and organization using artificial intelligence.

This month we find another American company, this time based in Massachusetts, Akkio, which has raised $15M to accelerate the commercialization of its platform and offer an easy-to-use AI assistant to all those who work with data.

Two pre-seed fundraisings were observed in August. One by Campaign, a Nocode website creation platform for brands and designers. The other by Polish company Fungies.io, a code-free SaaS platform for independent game studios.

September saw the highest amounts raised this quarter, with $129 million raised. This sum was raised by 4 companies and dominated by Pixis' $85M round.

Pixis, a company specializing in code-free AI infrastructure enabling brands to optimize their marketing performance, announced that it had secured $85 million in funding, the largest of this third quarter.

Framer, a Dutch no-code website builder, raises $27 million in Series C funding to develop its products and sales teams. 

French start-up Bonx raises $500k in its first pre-seed financing round. Its aim is to accelerate expansion and offer an innovative alternative to traditional ERP solutions.

🌏 In which countries are Nocode investments most significant? 

Of the 15 fundraisings recorded in the third quarter of 2023, 7 came from companies based in North America, including 6 in the United States and the 7th in Canada, representing 47% of the total number of deals and 74% of the total amount raised.

Canada, absent during the first 2 quarters, is back thanks to Montreal start-up HumanFirst and its $5M financing.

The Netherlands took second place this quarter, with almost 11% of the total amount raised thanks to Framer's $27 million deal.

Third place on the podium was occupied by Israel with start-up Zenity, which raised $16.5M to strengthen the security of low-code/Nocode solutions

In fourth place we find a German company: Anytype, a peer-to-peer website builder designed to restore digital freedoms and put power back in the hands of users, announced a fundraising of 12.4 million euros, or 5% of the total amount raised this quarter.

The other countries raising funds were in Europe, with France, Estonia and Poland, as well as Turkey, which together accounted for 3% of financial transactions in the third quarter. 

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⚖️ Q3 2023: A balance between young and more mature projects

Among the 15 fund-raisings recorded in the third quarter, there was a balanced distribution between projects in the development phase and more mature projects. Younger projects account for 47% of the total number of financings, and the more mature projects in Series A, B and C together account for the remaining 53%.

Over the last 3 months, a major investment was injected into a solution combining Nocode and AI, targeting marketing teams. Pixis raised $85 million in its Series C round, while Dutch company Framer also secured a new Series C round of $27 million for its no-code website-building business.

In second place are 5 Series A investments for a total of $71.90 million.

Fund-raising for young projects remains dynamic, although less so than in the previous quarter, with 4 projects financed in seed and 3 in pre-seed for a total of $26.60 million.

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🛠️IA and website builder lead financing for Q3 2023 

Nocode companies integrating AI were the most successful in raising funds this quarter, garnering almost 53% of funds raised and 27% of companies financed.

During the third quarter, funding for Nocode website builders increased eightfold, reaching $43.65 million, up sharply on the $5.5 million recorded in the previous quarter.

It's interesting to note that the larger, more mature Nocode solutions raised more funds this quarter, particularly in Series A, B and C.

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