Reducto Raises $8.4M to Help LLMs Read PDFs and Spreadsheets Like Humans

Reducto, an AI-driven startup that turns unstructured data from PDFs and spreadsheets into formats that large language models (LLMs) can efficiently process, has raised $8.4 million in a seed funding round. The round was led by First Round Capital, with participation from prominent investors including Y Combinator, BoxGroup, SVAngel, and Liquid2. Notable angel investors such as Dropbox founder Arash Ferdowsi, Airtable founder Andrew Ofstad, Zeus founder Kulveer Taggar, WayUp founder JJ Fliegelman, WePay founder Richard Aberman, and PlanGrid founders Ralph Goottee and Tracy Young also joined the round. Founded in 2023 and part of Y Combinator’s Winter 2024 batch, Reducto’s innovative solution addresses a critical pain point for AI teams across industries: the difficulty LLMs face whe