By Lea Mira - 7.16.2024
In a move indicative of the growing role of artificial intelligence in the restaurant industry, ConverseNow, a technology solution provider specializing in voice AI solutions for restaurants, has acquired Valyant AI, a provider of drive-thru automation technology. The acquisition aims to leverage the combined strengths of both companies to accelerate the adoption of AI-driven solutions within the quick-service restaurant (QSR) sector.
Founded in 2018, Valyant AI has focused its efforts on developing and deploying voice AI technology specifically for the drive-thru environment. Its primary offering, an AI voice assistant named Holly, integrates with existing drive-thru communication systems from established manufacturers like PAR and HME. Furthermore, Holly interfaces with a range of POS systems, including those from Brink, Xenial, NCR, Aloha, and Oracle Microsystems. This focus on integration with existing infrastructure highlights Valyant AI’s approach of providing readily deployable solutions for QSR brands. The company has secured contracts with notable brands such as CKE and Checkers, indicating a level of market acceptance for its technology.
ConverseNow, with its existing portfolio of voice AI solutions, aims to integrate Valyant AI’s technology and team into its operations. Both companies have articulated a shared objective of making AI solutions more accessible to a wider range of restaurants, irrespective of size or existing technological infrastructure. This shared vision, coupled with their complementary technological capabilities, forms the basis for the acquisition.
“Our goal is to make AI a ubiquitous tool for restaurants of all scales, enabling them to enhance operational efficiency and customer experience across all ordering channels,” stated Vinay Shukla, Co-Founder and CEO of ConverseNow, in a company press release. He further emphasized the strategic fit of the acquisition, stating, “Valyant AI’s specialized knowledge in drive-thru automation complements our existing voice AI capabilities, allowing us to offer a more comprehensive suite of solutions to the QSR market.”
Rahul Aggarwal, Co-Founder, COO, and CPO of ConverseNow, which in August 2022 closed a $10 million fundraising round, highlighted the technological synergy, stating, “Valyant’s patented technology and proprietary hardware, combined with their seamless POS integration capabilities, align well with ConverseNow’s existing AI technology stack. We believe this will allow us to develop even more robust and scalable solutions for the industry.”
ConverseNow’s AI-powered virtual ordering assistants are designed to engage in natural-sounding dialogue with customers, enabling them to understand customer intent and guide the ordering process. These assistants utilize conversational AI to interpret nuances in speech, anticipate ordering patterns, and even suggest upsells based on real-time data analysis. The company’s cloud-based platform supports multiple languages and caters to various high-volume ordering channels, including phone orders, drive-thru interactions, self-service kiosks, and voice-assisted chat on mobile devices.
The acquisition brings an additional technological asset to ConverseNow: an AI Employee Assist product. This voice-activated tool, powered by generative AI, provides restaurant staff with a way to access immediate answers to work-related questions. This solution, already piloted by Valyant AI, is designed for both stationary and drive-thru environments and is expected to be rolled out more broadly by the end of the quarter.
In the near term, both companies will continue to operate under their respective brands, ensuring continuity of service for existing clients. This approach allows both entities to leverage their combined resources and expertise while integrating their technologies.
Despite the optimistic outlook presented by both companies, the widespread adoption of AI in drive-thrus remains an evolving landscape. While some brands have reported successes with AI-powered drive-thru systems, others, like McDonald’s, have recently concluded trials with AI vendors, opting to explore alternative solutions. Similarly, Presto Automation, another player in the AI drive-thru market, has faced scrutiny for its reliance on human agents to support its AI system.
The ConverseNow-Valyant AI acquisition represents a significant consolidation of resources and expertise in the drive towards AI-powered restaurants. However, the long-term viability and efficacy of these technologies in real-world QSR environments remain to be fully assessed as the technology matures and industry adoption patterns emerge.
