A wave of European startups is deploying AI agents to automate complex, manual workflows across industries. Two recent funding rounds signal that investors are betting on vertical-specific AI agents that go beyond simple chatbots to become fully autonomous digital employees.

allO: voice-powered agents for restaurant back-office

Munich-based allO announced a $14 million Series A round to expand its AI agent platform designed for the hospitality industry. The company’s agents handle tasks such as order management, inventory tracking, and menu updates via voice commands. According to the company’s press release, allO’s agents can already process orders through phone calls and plan to launch ten more agents for areas like supplier coordination and staff scheduling.

Certo: automated compliance for beauty and CPG

Paris-based Certo raised $4 million in seed funding to automate global compliance for beauty and consumer packaged goods (CPG) brands. Certo’s AI agents check ingredient lists, validate formulas against regional regulations, and generate compliant labels. “Our agents reduce months of manual work to hours,” said Certo CEO Marie Dupont in a statement. “Brands can now launch products simultaneously across multiple markets without hiring a team of regulatory experts.”

The shift from copilot to autopilot

These developments reflect a broader trend: European startups are moving beyond AI copilots that suggest actions toward autonomous agents that execute entire processes end-to-end. The appeal to investors lies in the recurring revenue model—agents are offered as managed services with deep integration into customer workflows. For sectors like hospitality and consumer goods, where labor shortages and regulatory complexity are acute, AI agents offer a scalable alternative to expensive manual labor.

Despite the promise, challenges remain. Integration with legacy systems, data privacy, and user trust are critical hurdles. However, the rapid pace of funding indicates confidence that these issues can be resolved. As more European VC money flows into vertical AI agents, expect startups like allO and Certo to pave the way for a new generation of automated enterprises.

This wave of AI agents builds on earlier automation trends. In the mid-2010s, robotic process automation (RPA) gained traction by automating repetitive, rule-based tasks in finance and operations. However, RPA bots were brittle and required structured data. In contrast, modern AI agents leverage large language models and reinforcement learning to handle unstructured information and adapt to changing environments. For example, allO’s voice agents not only take orders but also learn from interactions to improve accuracy over time.

Similarly, the compliance automation space has seen predecessors: companies like Ascent and Compliance.ai began using machine learning to monitor regulatory changes, but Certo’s end-to-end approach goes further by executing the validation and document generation itself. Historical data shows that early adopters of automation in consumer goods, such as Procter & Gamble’s use of AI for packaging design in 2019, achieved 30% faster time-to-market. Certo aims to replicate that success for the beauty sector, where regulations vary widely across Europe, Asia, and North America.