Fashion startup Atorie has announced a $9.5 million seed funding round, with investors including a16z Speedrun, Night Capital, and Lightspeed Ventures’ Jeremy Liew. The company aims to provide consumers with luxury goods directly from manufacturers, bypassing traditional markups.
Atorie's co-founder, Redouane Ramdani, stated that the items sold are made from the same materials and by the same factories that produce high-end goods. An Italian leather handbag, for example, costs a few hundred pounds through Atorie, compared to thousands from established luxury brands.
The startup leverages AI to analyse fashion trends, test product colours, and estimate consumer demand. AI agents are also trained to predict when materials might run short, allowing factories to stock up. On the consumer side, the Atorie website offers an AI agent that can build outfits based on customer inspiration and learns shopping habits to suggest future purchases.
Atorie reported approximately $5 million in sales last year and expects to reach an annualized run rate of over $55 million this year. The new capital will be used to fund logistics, develop more AI tools, and support production. The company also plans to launch its own in-house line and collaborate with creators and influencers to help them launch clothing lines.