AlchemyAPI

AlchemyAPI

Company type	Subsidiary
Industry	natural language processing, computer vision, big data
Founded	2005 (2005)
Defunct	2020 (2020)
Fate	Acquired by IBM and integrated into its Watson API products
Headquarters	Denver
Key people	Elliot Turner (CEO)

AlchemyAPI was a technology firm focused on machine learning, particularly specializing in applications of deep learning within natural language processing (NLP) and computer vision. The company provided both licensed software and API services delivered through a Software as a service framework. After being acquired by IBM in 2015, AlchemyAPI’s innovations were incorporated into IBM’s Watson suite, resulting in the discontinuation of the original brand.

Technology and business model

The company’s primary commercial approach revolved around a usage-based API pricing structure, which was pioneering at the time and expanded access beyond traditional corporate customers. AlchemyAPI managed upwards of 3 billion API requests each month, underscoring its substantial adoption in the market.

History

Established in 2005 by entrepreneur Elliot Turner, AlchemyAPI introduced its API to the market in 2009. By September 2011, it had earned a place in the esteemed ProgrammableWeb API Billionaires Club alongside major technology companies such as Google and Facebook, highlighting its growing industry presence.

In early 2013, the company raised $2 million in funding aimed at advancing its deep learning technologies, facilitating further expansion and product innovation. Later that year, AlchemyAPI created an application for Google Glass capable of performing real-time object identification, marking its entry into computer vision offerings.

By the beginning of 2014, AlchemyAPI supported clients spanning 36 countries and processed over 3 billion documents per month. In May 2014, it launched AlchemyVision, a computer vision API that provided features like object detection and image similarity analysis, enhancing its position in AI-powered visual analytics.

IBM’s acquisition of AlchemyAPI in March 2015 was intended to boost IBM’s cognitive computing capabilities by integrating AlchemyAPI’s deep learning expertise into the Watson platform, thereby strengthening IBM’s competitive edge in AI technologies.

Media coverage

In February 2013, an article published by VentureBeat identified AlchemyAPI as a significant contributor to democratizing natural language processing technology. Later that year, in November 2013, GigaOm included AlchemyAPI among leading startups advancing deep learning, alongside firms such as Cortica and Ersatz.