Freshworks introduces Agentic AI capabilities, no-code platform for autonomous agents

Software-as-a-Service (SaaS) firm Freshworks, today, has launched the next generation of its agentic Artificial Intelligence (AI) platform. Bundled under its suite of AI tools called Freddy AI, the new additions to the Freddy Agentic AI Platform claim to not only answer queries but also resolve them. These features allow Freddy AI to perform tasks such as processing an insurance claim, updating a payroll record, or booking a new shipment.

Speaking to TechCircle on the sidelines of the announcement, chief technology officer Murali Swaminathan said that while the NASDAQ-listed company has been working on AI agents for over a year now, they have now evolved further to take action. Freddy AI agents can be integrated with tools such as Slack, Microsoft SharePoint, and Teams, while preventing data sharing between accounts. It also supports multilingual conversations in over 40 languages.

Additionally, Freshworks has also announced the launch of its no-code platform to create and deploy autonomous AI agents. It is called Freddy Agentic AI Studio.

“Previously, we offered a set of predefined actions, like 'connect to a live agent’ or ‘find me the status’. Today, we’ve made the platform extensible for customers to wire their own actions. We've also introduced vertical-specific capabilities, meaning our platform now offers tailored agent templates and tools for industries like retail, travel, and financial services,” Swaminathan said.

During the beta, these newly launched solutions have delivered promising results, Swaminathan said. It allows business analysts or customer-facing teams to independently set up and customise AI agents to enhance process flows, and also reduces time-to-value. “During our proof-of-concept phase, we saw strong adoption across industries, particularly in retail and travel.”

Freddy AI

Since its release in 2023, Freddy AI has helped over 5,000 organisations streamline service operations. According to the company’s numbers, Freddy AI has helped deliver 70% ticket deflection from AI Agents and up to 50% productivity gains from Freddy AI Copilot. 

“Freddy’s multi-model architecture draws on our trusted LLM partners, each selected for their strengths. This approach helps us offer more accurate and context-aware services that help resource-constrained teams,” noted Swaminathan. The company has tie-ups with OpenAI, Google Cloud Services, AWS, Mistral, among others, for their LLM needs. 

He added that Freshworks is in the business of building software, not reinventing foundational models. The approach is to leverage the best-of-breed models available and use them through fine-tuning and instruction-based techniques. 

“Where it makes sense, we do explore building smaller specialised language models (SLMs)—for example, our 13B self-hosted model tailored for a specific use case. However, for most scenarios, we rely on frontier models because the LLM landscape is evolving rapidly.”

Freshworks’ AI investment

Freshworks has over 70 AI tools that it leverages for internal processes. It includes tools for assisting developers in coding and writing tests; to support and streamline billing operations; developing targeted marketing strategies; and for initial screening of candidates in HR processes. 

We have thousands of engineers across the globe working on our products, and AI is a significant part of that investment. While it's difficult to pinpoint an exact number given the broad range of use cases, hundreds of engineers are actively involved in developing and integrating AI into our solutions on a daily basis. It’s a core focus area that touches nearly every part of our product ecosystem,” explained Swaminathan.

In terms of revenue, AI has become a strong tailwind for Freshworks’ revenue growth. While the company doesn’t sell AI as a standalone product, it is a key driver for the existing product suite. 

“From a revenue standpoint, AI-related add-ons are growing quarter over quarter, and increasingly, new customers are including AI as part of their initial purchase. Previously, customers would adopt AI after starting with our core products. Now, many are opting to include AI agents and copilots right from the start.”