The combined company unifies search, recommendations, personalization, guided selling, bundling, and conversational AI on a single engine — already proven across the world’s leading brands, retailers, and manufacturers.
Zoovu, the AI platform for product discovery, announced its acquisition of XGEN AI, a leader in search, merchandising, and recommendations for the world’s top consumer brands. Together, the two companies form a single AI-native engine for ecommerce product discovery, built to serve every shopper, every catalog, and every moment.
Most enterprise brands today run product discovery on a stack of five to seven disconnected vendors, resulting in inconsistent shopper experiences and measurable conversion loss. Zoovu and XGEN AI end that fragmentation by unifying search, guided selling, bundling, recommendations, and conversational AI on one data model, one set of merchandising rules, one personalization layer, and one source of truth for analytics.
“The next generation of product discovery isn’t a stack — it’s an engine, with AI at its core rather than bolted on,” said Jonathan Taylor, CEO of Zoovu. “It learns from every shopper interaction across experiences such as search, email, and recommendations, and applies that learning everywhere, instantly. It works as well for a luxury fashion shopper exploring a new collection as it does for a Honeywell buyer specifying industrial equipment.”
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The combined company enables ecommerce teams to deliver more relevant product discovery experiences that improve conversion, AOV, and customer engagement at scale for B2C and B2B enterprises.
“Zoovu and XGEN AI share the same conviction: that AI in ecommerce should serve the shopper and the business, not lock either one into a black box,” said Mark Steele, CEO of XGEN AI. “Joining Zoovu lets us deliver conversational AI search alongside guided buying, bundling, and AI assistants — all on one ecommerce revenue engine. It gives our customers a single platform that grows with them.”
“Zoovu has built one of the most differentiated AI-native platforms in enterprise ecommerce, and the addition of XGEN AI accelerates its leadership in a category that is rapidly consolidating around AI,” said Alex Malvone, partner at FTV Capital. “We are proud to back Jonathan and the team as they bring together two AI-native businesses to define the future of product discovery.”
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Capabilities from both platforms are already in production at global enterprise brands, including Valentino, Ferragamo, and Microsoft, with reported outcomes that include significant improvements in search conversion and recommendation performance, as well as a 25% lift in add-to-cart rate for Microsoft.
The acquisition is backed by FTV Capital, a leading sector-focused growth equity firm and Zoovu’s lead investor. The investment underscores FTV’s continued conviction in Zoovu’s strategy to build the category-defining ecommerce revenue engine for enterprise product discovery. Financial terms of the transaction were not disclosed.
