Startup Originals Team
Manufacturing-focused startup 1Buy.AI has raised ₹32.5 crore in a new funding round to help factories reduce production costs by using artificial intelligence to optimise industrial procurement. The company aims to make sourcing of parts and raw materials more efficient, transparent, and cost-effective for manufacturers.
Funding to Tackle High Manufacturing Costs
The fresh capital will be used to strengthen 1Buy.AI’s AI-driven procurement platform, expand its customer base, and scale operations across manufacturing hubs. The startup focuses on one of the biggest pain points for factories, high and unpredictable input costs caused by inefficient purchasing, fragmented supplier networks, and lack of real-time pricing intelligence.
By streamlining how factories buy components and materials, 1Buy.AI aims to directly improve operating margins and overall competitiveness for manufacturers.
How 1Buy.AI’s Platform Works
1Buy.AI uses artificial intelligence to analyse procurement data, supplier pricing, demand patterns, and historical purchases. Based on this analysis, the platform helps factories identify the best suppliers, negotiate better prices, and avoid overpaying for parts.
The system is designed to reduce manual intervention in procurement decisions and replace intuition-based buying with data-backed insights. This is particularly valuable for small and mid-sized manufacturers that often lack dedicated procurement analytics teams.
Helping Factories Improve Efficiency
Manufacturing companies typically manage thousands of SKUs across multiple suppliers, making cost control complex. 1Buy.AI’s platform helps simplify this process by centralising procurement data and automating comparisons across vendors.
According to the company, manufacturers using its solution can achieve meaningful savings by reducing price variation, improving supplier selection, and minimising last-minute purchases that often come at a premium.
Why AI-Led Procurement Is Gaining Traction
Rising input costs, supply chain disruptions, and global competition have increased pressure on manufacturers to operate more efficiently. As a result, there is growing interest in AI-led tools that can deliver measurable cost savings without requiring large operational changes.
Industry experts say procurement is one of the most under-digitised functions in manufacturing, making it a natural area for AI-driven transformation. Platforms like 1Buy.AI are tapping into this gap by offering practical, ROI-focused solutions.
Plans for Expansion and Product Development
With the new funding, 1Buy.AI plans to invest in product development, including deeper AI models for price prediction and supplier performance analysis. The company also aims to expand its presence across key manufacturing sectors such as automotive components, industrial equipment, and consumer goods.
Part of the capital will be used to grow the engineering and customer success teams to support larger factory deployments and enterprise clients.
Strengthening India’s Manufacturing Ecosystem
The funding comes at a time when India is pushing to strengthen domestic manufacturing and improve global competitiveness. Cost efficiency is a critical factor for manufacturers seeking to scale production and compete with international suppliers.
By helping factories buy smarter and cheaper, 1Buy.AI positions itself as a technology enabler for more resilient and efficient manufacturing operations.
Looking Ahead
As manufacturers increasingly turn to data and automation to control costs, AI-led procurement platforms are expected to play a larger role in factory operations. With ₹32.5 crore in fresh capital, 1Buy.AI is aiming to accelerate adoption of its solution and become a key player in India’s industrial technology landscape.
