Patlytics Raises $14M To Equip IP Professionals with the Most Powerful Tools

Intellectual property (IP) protection has long been an essential component of creativity, impacting industries by protecting inventions and technological developments. Traditionally, patent management has been a time-consuming and complex procedure requiring extensive legal knowledge and rigorous attention to detail. However, the use of artificial intelligence (AI) is changing the way patents are drafted, analysed, and managed. Patlytics, an AI-powered patent workflow platform, has emerged as a leader in this transformation. The company recently closed a $14 million Series A funding round led by global venture firm Next47, with participation from existing investors such as Google’s AI-focused venture fund Gradient, 8VC, Alumni Ventures, Liquid 2 Ventures, and Myriad Venture Partners. This brings Patlytics’ total funding to $21 million within just nine months.

In 2010, Paul Lee and Arthur Jen became fast friends at the University of Waterloo while both were studying engineering. After graduation, Paul took a deep dive into finance, working in venture capital where he gained a deep understanding of what makes companies thrive—how market leaders emerge, what drives sustainable success, and how innovation can be cultivated within organizations. Meanwhile, Arthur pursued software development, building advanced products and technologies to address real-world customer needs. He was co-founder and CTO of Magic, a crypto wallet-as-a-service company used by major brands like Mattel and Macy’s.

Though their career paths diverged, both Paul and Arthur witnessed firsthand how a successful IP strategy could either fuel or hinder innovation. It was this shared insight, coupled with their passion for building businesses that create lasting value, that led to the creation of Patlytics. Their mission from day one: equip IP professionals with the most powerful tools available to drive innovation and strategic success.

Patent drafting is a core function in the field of intellectual property (IP) law. Many IP lawyers dedicate a significant portion of their time to drafting patents, as patents form the foundation of IP protection. However, the rise of AI-driven patent drafting and large language models (LLMs) is transforming this process, enabling IP professionals to increase output without sacrificing quality. This shift is not only streamlining workflows but also creating opportunities for lawyers to handle more clients while maintaining high standards of precision.

The Impact of AI on Patent Drafting for IP Lawyers and Inventors

For patent lawyers, AI-assisted drafting tools significantly reduce the time required to create high-quality patent applications. These tools can analyze prior art, detect potential inconsistencies, and ensure compliance with patent regulations, allowing legal professionals to focus on more strategic aspects of IP protection.

For inventors and businesses, AI-powered patent drafting provides an opportunity to preserve capital and time, reallocating resources from legal documentation to research and development. Instead of navigating complex drafting processes manually, inventors can leverage AI-driven tools to automate patent writing, prior art searches, and whitespace analysis, leading to a more efficient and cost-effective patent application process.

Investor Confidence and Market Validation

“Patlytics’ AI is transforming how patents are drafted, analyzed, protected, and monetized,” said Matthew Cowan, general partner at Next47. “Their benchmark of velocity is unmatched, and the team has harnessed this momentum to deliver secure, comprehensive AI outcomes on par with patent professionals. We are thrilled to support their mission to equip IP professionals with the most powerful tools to drive strategic success.”

Corporations are increasingly seeking ways to unlock productivity gains in intellectual property workflows—spanning patent prosecution, litigation, invention disclosure, and pruning. Patlytics’ AI-driven platform leverages large language models (LLMs) custom-built for IP, delivering accuracy, speed, and security that meet the needs of Fortune 500 companies, leading Am Law 100 law firms, and enterprise innovators. The company has seen an 18x increase in its customer base within six months, with customers including Quinn Emanuel, Koch Disruptive Technologies, Google, Xerox, Abnormal Security, Richardson Oliver Law Group, Young Basile, and Reichman Jorgensen Lehman & Feldberg LLP.

As part of its next phase of growth, Patlytics has appointed Eric Lin as vice president of strategy. Lin, a former IP litigator with over a decade of experience at top-tier law firms including Paul Hastings LLP, Morrison & Foerster LLP, and Baker Botts LLP, will help refine Patlytics’ product offerings and expand its global footprint.

The company has also established an advisory board comprising industry experts from organizations like Google, IBM, Latham & Watkins LLP, Datadog, and Koch Companies. Members include Stephen MacKenzie, Bob Steinberg, Eugene Goryunov, and Yury Kapgan, whose collective expertise will further Patlytics’ vision for a holistic patent intelligence platform.

The Future of AI-Driven Patent Intelligence

“AI is driving immense value in legal tech, even within the complex and nuanced realm of intellectual property,” said Paul Lee, CEO and co-founder of Patlytics. “Our platform’s ability to deliver efficiency and insights with generative AI is fundamentally transforming the patent lifecycle. This investment will help us grow our best-in-class team, deploy new product enhancements, and provide exceptional value to customers on a global scale.”

The Series A funding will enable Patlytics to enhance its AI-powered platform across multiple critical areas of intellectual property management. It aims to accelerate patent application drafting by transforming invention disclosures into comprehensive drafts, including claims and specifications, within minutes. The platform will also automate prior art searches and patentability assessments to streamline innovation capture. In the realm of patent litigation and risk assessment, Patlytics will strengthen its capabilities in invalidity analysis, evaluating § 102 anticipation and § 103 obviousness through detailed claim charts. Additionally, it will refine its infringement detection tools, enabling more efficient Evidence of Use (EOU) discovery, patent-to-product mapping, and infringement risk assessment. 

The funding will further support in-depth Standard Essential Patent (SEP) analysis, allowing companies to maximize the value of their SEP portfolios. Beyond individual patents, Patlytics plans to enhance its portfolio management tools by automating classification, evaluation, and optimization of IP assets for strategic decision-making. AI-driven office action responses will expedite prosecution workflows, while improved workspace collaboration features will provide customizable access controls for secure, team-based IP management.

Partnering with Next47 aligns with Patlytics’ vision of expanding its footprint in the global IP ecosystem. “We chose Next47 for their world-class go-to-market experience and their deep understanding of the IP market,” said Lee. “Their expertise in scaling transformative technology companies makes them the ideal partner for this phase of our growth.”

Their mission from day one was to equip IP professionals with the most powerful tools available to drive innovation and strategic success. This funding will help them do just that.