Apate Raises $8.15M Seed for AI Scam Intelligence

In a novel approach to combating digital fraud, Australian startup Apate is deploying thousands of artificial intelligence agents designed to actively engage with and be victimized by scammers. This strategy aims to gather actionable intelligence directly from fraudulent actors, providing crucial data to financial institutions, telecommunications firms, and government agencies. The company, founded in 2024 based on research from Macquarie University, operates on the principle that understanding scammer tactics requires direct, albeit simulated, exposure.

These AI agents are programmed to mimic diverse user profiles, adopting various ages, genders, and linguistic styles to interact across a wide spectrum of scam vectors. They respond to fraudulent calls, engage with suspicious messages and emails, follow phishing links, and infiltrate online communities where illicit activities are promoted. By prolonging these interactions, Apate's agents aim to extract critical information such as bank account details, cryptocurrency wallet addresses, phone numbers, and the specific brands or entities being impersonated by fraudsters. This proactive intelligence gathering is designed to preempt actual victim losses.

The scale of Apate's operation is significant, with its agents reportedly having spent over 17 years engaged in more than 2.5 million simulated scam conversations. This extensive engagement has yielded substantial insights, enabling customers like Commonwealth Bank of Australia and TPG Telecom to bolster their defenses. For instance, TPG Telecom has redirected nearly 590,000 calls to Apate's agents, while Commonwealth Bank has reported a 76% reduction in publicly documented scam-related losses. An unnamed Australian bank utilizing Apate's outbound agents has successfully disrupted 22 distinct scam campaigns.

This innovative methodology emerges as AI increasingly empowers malicious actors. The FBI noted over 22,000 AI-related crime complaints in 2025, resulting in approximately $893 million in losses, with investment scams being a major contributor. Apate's co-founder and chief commercial officer, Brad Joffe, emphasizes their distinct approach: "Most of the industry works after the fact. Telcos block numbers, but scammers just get new ones. Banks watch transactions, but by then the scammer has already reached the customer. We go to the scammer directly and get the information before anyone gets hurt."

The company recently secured $8.15 million in seed funding, led by Lobby Capital, with participation from OIF Ventures, Investible, Concept Ventures, and Baobab Ventures. This capital infusion, bringing their total funding to just under $10 million, will support product development and international expansion, including establishing a presence in London and the U.S. The startup, named after the Greek goddess of deception, leverages both frontier AI models and proprietary fine-tuned systems trained on its extensive scam interaction data.

Apate offers clients an insights portal that provides detailed analytics on emerging threats, targeting specific industries, brands, and customer segments. Clients can even assign specific intelligence-gathering missions to the AI agents. This proactive, intelligence-driven approach to fraud prevention represents a significant evolution in cybersecurity, moving beyond reactive measures to directly confront and dismantle criminal operations at their source.