Spyne Secures $16M Series A to Expand AI-Driven Automotive Retail Solutions

Spyne, a Gurugram-based AI-driven visual merchandising platform for the automotive sector, has secured $16 million in a Series A funding round led by Vertex Ventures. Existing investors Accel, Storm Ventures, and Alteria Capital also participated. 

The fresh capital will fuel Spyne’s expansion into the US market and accelerate the development of advanced AI solutions for automotive retail. The company aims to scale its dealer network from 1,500 to 20,000 globally while strengthening its technology infrastructure across EMEA and APAC regions.

“This investment marks a significant milestone for Spyne as we accelerate our U.S. expansion and redefine AI’s role in automotive retail,” said Sanjay Varnwal, co-founder and CEO of Spyne. He emphasized the company’s vision to make digital vehicle showcasing more efficient and immersive for dealerships worldwide.

Founded in 2020 by Sanjay Varnwal and Deepti Prasad, Spyne initially developed computer vision solutions for various sectors, including e-commerce and food delivery, before shifting its focus exclusively to the automotive industry. The company’s AI-powered platform enhances vehicle images, making them look professional while also detecting damages, helping auto dealers improve online car listings.

Spyne is developing a GenAI and LLM-powered Automotive Retail Suite specifically designed for small and mid-sized dealerships. The platform will offer AI-powered solutions for customer engagement, digital merchandising, pricing, vehicle sourcing, and distribution. To enhance its US operations, Spyne is establishing a dedicated business development team, which will include a country head, customer success specialists, and account executives.

Spyne, with 70% of its revenue derived from the U.S. and 25% from Europe, has seen its growth accelerate fivefold in the past 15 months. The company is now targeting a threefold increase in revenue by FY26. To support this growth, Spyne plans to expand its dealer network from 1,500 to over 20,000 globally, with a focus on high-growth regions in the Middle East, Asia-Pacific, and Europe.

Spyne is expanding beyond visual merchandising to develop a GenAI and LLM-powered automotive retail suite. This platform is designed to help small and mid-sized dealerships streamline their entire retail process, from vehicle sourcing and pricing to digital sales, distribution, and AI-driven customer management. By integrating Agentic AI, the company aims to transform how dealerships operate.

The startup’s customer base includes dealer networks across the US and Europe, offering AI-driven solutions that digitize automotive businesses. “Spyne has demonstrated how AI can solve key challenges in vehicle merchandising and retail at scale,” said Piyush Kharbanda, General Partner at Vertex Ventures SEAI. 

Pratik Agarwal, Principal at Accel, highlighted Spyne’s efficient growth strategy, stating that its capital-conscious approach has positioned it close to profitability.

Spyne is also expanding into high-growth regions across EMEA and APAC, replicating its US market strategy to drive global adoption. Competing in the fast-growing automotive retail tech sector, the company is focused on leveraging AI to help dealerships optimize their operations and improve digital vehicle sales.