He made billions betting on what’s next. Now this 71-year-old investor’s latest move reflects his conviction that AI will change how the Internet works. Vinod Khosla’s venture capital firm, Khosla Ventures, made early investments in OpenAI, DoorDash and Instacart. His latest investment, AI startup Coframe, targets another potential shift: how websites operate.
Coframe wants to rewire the Internet so every visitor to a website sees a page custom-made for them. “The world has changed because AI has enabled extreme customization,” Khosla said in an interview with Business Insider. Forbes reported earlier this year that Khosla’s net worth is around $10 billion. Coframe announced this week that it raised $35 million in total funding, including a $25 million Series A led by Khosla Ventures and Hanabi Capital. Executives at Anthropic, OpenAI and Google DeepMind also participated.
Coframe helps businesses improve their websites so more people buy something, tup creates and tests different versions of a webpage, including text, images and design. It then tracks how visitors interact with the webpage to determine how to improve it. For example, say an online store wants to sell more shoes. Coframe could help the company test different headlines, product images or page layouts and determine which versions lead to more purchases. “For decades, the web has been frozen in place, showing every visitor essentially the same page,” Khosla said in the press release. “Coframe is building the living internet, where two people can visit the same website and have completely different experiences, personalized to who they are and what they need.
These interfaces continuously learn and improve themselves. This is a huge leap beyond traditional A/B testing and the next iteration of the internet.” Coframe claims that it can help businesses get more out of the visitors they already have and spend far less time figuring out how to capitalize on their audiences. The startup said in the press release that its AI-powered testing platform has helped customers generate more than $300 million in additional revenue, with conversion rates improving by more than 20% on average. Coframe’s customers include Dropbox, BCG, Block, Backcountry and Sur La Table.
Speed is another part of the startup’s appeal. Coframe said it built and launched an experiment for Dropbox in 30 minutes that previously would have required four weeks of engineering, design and quality-assurance work. For an unnamed Fortune 500 customer, the company said it launched dozens of variations and increased conversions by 70% within 30 days of the contract being signed. The idea is to let businesses try more approaches without adding weeks of production work each time.
Faster testing can help teams identify promising changes and move past unsuccessful ones sooner. Khosla sees AI as a way to deliver an experience built around each visitor to a website, like Coframe is doing. “The alternative is to write code for every page that’s presented, but that’s too expensive and way too slow,” Khosla told Business Insider. “This idea of a customized page for every user is a really good idea.” He made billions betting on what’s next. Now this 71-year-old investor’s latest move reflects his conviction that AI will change how the Internet works. Vinod Khosla’s venture capital firm, Khosla Ventures, made early investments in OpenAI, DoorDash and Instacart.
His latest investment, AI startup Coframe, targets another potential shift: how websites operate. Coframe wants to rewire the Internet so every visitor to a website sees a page custom-made for them. “The world has changed because AI has enabled extreme customization,” Khosla said in an interview with Business Insider. Forbes reported earlier this year that Khosla’s net worth is around $10 billion.
