Gusto has surpassed $1B in trailing 12-month revenue, serving 500,000+ U.S. small businesses. The company added roughly 50,000 customers last quarter, achieved five consecutive quarters of ARR acceleration, and says more than half of ARR now comes from products beyond payroll. SAN FRANCISCO,�

An artificial intelligence hiring platform widely used by large U.S. employers is facing a proposed class action lawsuit that could have far-reaching implications for how AI tools are regulated in recruitment. On January 21, 2026, Eightfold AI, a Silicon Valley–based talent intelligence company

In a major recent development, Mercor has announced a USD 350 million Series C round, led by Felicis with participation from Benchmark, General Catalyst and Robinhood Ventures—bringing the company’s valuation to approximately USD 10 billion. The firm—founded just three years ago—operates at

DianaHR, a San Francisco–based startup founded by former Gusto Head of Engineering Upeka Bee, has raised a $3.7 million seed round led by SNR Ventures with participation from General Catalyst, Y Combinator, and unicorn founders from Mercury, Twitch, and Dropbox. Targeting the 1.4 million U.S. SMBs

Eudia has acquired Johnson Hana to create the world’s first AI-augmented human workforce focused on legal services. By combining Eudia’s agentic AI platform with Johnson Hana’s elite legal consultants, the company pioneers a new model where human expertise is embedded directly into AI systems.

Thatch has secured a $40M Series B funding round led by Index Ventures, with participation from Andreessen Horowitz, General Catalyst, and ADP Ventures. The company aims to revolutionize employee healthcare by replacing outdated employer-controlled benefits with a personalized, tax-free healthcare b

Factorial, the Barcelona-based HR tech unicorn, has secured an additional $120 million in non-dilutive funding from General Catalyst, bringing its total borrowings from GC’s Customer Value fund to $200 million. This investment will fuel Factorial’s go-to-market (GTM) strategy, primarily focusing

Mercor , an AI-driven recruiting startup founded by three 21-year-old Thiel Fellows, has raised $100 million in a Series B funding round, valuing the company at $2 billion. Led by Felicis, with participation from Benchmark, General Catalyst, and DST Global, the funding marks an eightfold increase fr

Deel , a global leader in payroll and HR technology, announced that new anchor investors, including General Catalyst and a sovereign fund, have acquired $300 million in secondary shares from early investors. This is not new funding but a secondary market transaction, reflecting strong investor confi

TeamBridge, an HR tech startup founded by former Uber executives, has secured $28 million in Series B funding, led by Mayfield with participation from General Catalyst and Abstract Ventures, raising its total funding to $41.5 million. This San Francisco-based company aims to address the specific nee