Coframe Raises $25M to Make Websites AI-Personalized

Coframe raised a $25 million Series A co-led by Khosla Ventures and Hanabi Capital, bringing its total funding to $35 million; the valuation was not disclosed.

By Marcus Bennett

Khosla Ventures had backed Coframe at the seed stage, and founder and partner Vinod Khosla is now doubling down through the new round. His latest AI investment targets a basic web convention: one-size-fits-all pages built for everyone.

Coframe wants each visitor to see a page tailored to them, with AI handling work that would otherwise require separate code for every page.

Coframe was founded in 2023 by Josh Payne, an AI researcher and entrepreneur who studied mathematics and computer science at Stanford. He previously co-founded Autograph, the sports and entertainment startup backed by Tom Brady.

Payne said the company grew out of the manual, labor-intensive work he encountered while trying to build a consumer-facing business. When ChatGPT arrived, he saw generative AI as a way to remove that bottleneck.

What changes for online retailers?

Coframe's pitch is not just to generate a prettier landing page. Payne said the company's advantage will come from learning what drives a particular customer to click and buy.

He described the result as highly bespoke and said it should better represent the business and the goods and services it offers.

Khosla used Amazon as the example of what he wants to disrupt. He said the shopping experience there has "gotten worse and worse and worse" over the past 15 years because the retailer pushes what it wants to sell rather than showing each user what is most relevant.

His alternative is not another universal page, but a page assembled around the individual visitor.

That approach also answers the cost problem. Khosla said writing code for every page is too expensive and too slow, while calling a customized page for each user a very good idea. For a retailer, the practical change is the ability to serve tailored versions without writing and maintaining code for every page.

Coframe's customer list supplies some scale. The startup says it has generated more than $300 million in incremental revenue for customers including Dropbox, BCG, Block, Backcountry and Sur La Table. It reports these conversion-rate increases:

• Dropbox: 158%
• Replit: 410%
• Cash App: 60%

Those are company-supplied figures. The announcement provides no baselines, measurement periods or independent validation.

It also does not disclose customer pricing, implementation costs or a general release schedule. Retailers know the proposed function, but not the price or deployment timetable.

Payne describes the underlying problem bluntly: "Websites are static. You build them once; they're one size fits all, and then it takes a tremendous amount of effort to improve them over time." His answer is to let each page respond to what the system learns about its visitors.

The market Coframe is entering has not been an easy sell to venture investors. Payne argues that AI can give marketing technology a second act after the category settled around Adobe and Salesforce, plus numerous point tools for testing, targeting and measuring campaigns.

Optimizely, once a Silicon Valley favorite, was acquired for an undisclosed sum in 2021.

Coframe calls its version the living internet. Payne said the internet will have its own sense of life and that the technology is moving quickly enough for his company to help deliver it. Khosla puts the same bet more plainly: AI has enabled extreme customization, and static pages are no longer the only option.

The near-term test is whether Coframe can turn its selected customer results into repeatable gains at prices retailers can accept; the $35 million funding buys time, not proof.