US-based lifestyle retailer Gap has purchased artificial intelligence (AI) start-up Context-Based 4 Casting (CB4) for an undisclosed sum.
CB4 uses advanced AI and machine learning tools to make predictive analytics and demand sensing to support sales and streamline the customer experience.
The company was founded by Professor Irad Ben-Gal and Dr Gonen Singer following an innovative research project in Tel Aviv University, Israel.
It is based in New York and operates offices in Tel Aviv and London, UK.
Under the terms of the deal, Gap will induct CB4’s team as full-time employees.
Gap chief growth transformation officer and strategic growth office head Sally Gilligan said: “We believe artificial intelligence and machine learning will shape the future of our industry.
“Gap has experience working with CB4’s world-class data scientists, so we understand the impact and the wide applications their science can have across sales, inventory and consumer insights, as well as its potential to unlock value and enhance the customer experience.”
CB4’s solutions are used by Levi’s, Urban Outfitters, Lidl and Kum & Go among other retailers.
Investors in the company include US-based venture capital firm Sequoia Capital.
The deal with Gap was brokered by Gap’s Strategic Growth Office.
CB4 CEO Yoni Benshaul said: “CB4’s AI helps lift sales and enhance customer experiences.
“As we join Gap, I’m excited to see how our team can drive even broader and deeper impact at the company’s global scale.”
Gap’s investment in technology has been increasing since moving to the Cloud last October.
In August, the company purchased Drapr, an e-commerce start-up and technology-based online application, for an undisclosed sum.
Drapr aims to help shoppers find the right clothing sizes and fits by creating 3D avatars to virtually try items on.
The company was founded by David Pastewka, Will Drevno and Richard Berwick and was part of Y Combinator’s class of Summer 2020.