Zencity, a prominent community engagement platform serving the local government sector across four continents, has secured a significant $40 million investment in its Series C funding round led by StepStone Group. This latest infusion of capital, which includes participation from existing investor TLV Partners, brings the total raised by the company to $91 million and marks a substantial increase in its valuation since its last funding round.
The funds will primarily be allocated to bolstering Zencity’s artificial intelligence capabilities, reinforcing its engineering and data science teams, and enhancing customer service for its diverse array of local government partners worldwide.
At the forefront of its industry, Zencity has emerged as a crucial ally for city, county, and agency teams grappling with the imperative to foster public trust in government institutions. Amidst a backdrop of declining public confidence in governmental bodies, Zencity’s platform facilitates robust community engagement by gathering and analyzing public sentiment on a broad spectrum of issues. This capability empowers local governments to integrate community insights directly into their decision-making processes, thereby bridging the gap between civic leaders and the communities they serve.
Recognized as one of the “100 most promising private AI companies in the world” by CB Insights in 2022, Zencity continues to pioneer responsible AI applications within the public sector. The company has introduced the “Zencity AI Assistant,” a groundbreaking tool designed to streamline the gathering and interpretation of community feedback. Currently in closed beta with select clients and slated for general availability this summer, the AI Assistant promises to revolutionize engagement practices by automating project creation, survey generation, multilingual translation, data analysis, and report generation.
Commenting on the strategic importance of these developments, Eyal Feder-Levy, CEO of Zencity, affirmed, “Zencity’s mission is to build trust between local governments and the communities they serve. Our partnership with StepStone will enable us to advance this mission by deploying cutting-edge technology that simplifies community engagement and enhances decision-making capabilities for our government partners.”
StepStone Group, a leading global investor spearheading Zencity’s Series C round, expressed confidence in Zencity’s potential to redefine public engagement solutions across the vast government market. “Zencity is poised to lead the category of public engagement through its innovative AI-driven tools, which are already transforming operational efficiencies in cities across the United States and beyond,” noted John Avirett, Partner at StepStone Group.
Recent additions to Zencity’s client roster include high-profile entities such as the City of New York, Dallas, the Los Angeles Police Department, and the United Kingdom Department for Levelling Up, Housing and Communities, underscoring the platform’s expanding global footprint and impact.
With operations spanning over 40 states in the U.S. and serving a cumulative population exceeding 200 million globally, Zencity is poised for continued growth and innovation in the realm of public sector technology solutions.
