In a region where transparency in contract management remains a persistent challenge, two Argentine entrepreneurs have developed ETHIX, a platform that leverages artificial intelligence (AI) to analyze bidding documents and detect irregularities.
The Birth of ETHIX
ETHIX was founded by Iván Gauna, a lawyer and entrepreneur, and Iván Addolorato, a systems engineer. The two met during their school years and previously co-founded WorknMates, a marketplace for office spaces with a presence in more than 25 countries.
The idea for ETHIX emerged after their participation in the Berkeley SkyDeck program in Silicon Valley. Witnessing the rapid advancements in AI, they decided to apply this technology to optimize both public and private contracting processes.
How ETHIX Works
ETHIX is currently operational in over ten public organizations and five private companies within the construction sector. The platform analyzes bidding documents in real time, identifying suspicious patterns and flagging potential irregularities.
ETHIX works by cross-referencing legal frameworks, case law, previous tenders, supplier reputations, and internal organizational documents to ensure transparency. This AI-powered solution streamlines the drafting process and minimizes risks associated with contract manipulation.
According to its developers, ETHIX has proven to be highly effective in reducing the time required to draft tender documents by 60%. “In more than 70% of corruption cases, issues originate in the drafting phase of tender specifications. ETHIX addresses these vulnerabilities at their core,” explains Iván Gauna, CEO of the startup.
Financial Backing and Market Expansion
To finance its initial development, ETHIX secured funding through a Friends & Family investment round. This round included contributions from local entrepreneurs and executives from Silicon Valley, notably directors from Meta in San Francisco.
At this stage, ETHIX reached a valuation of one million dollars, reflecting its strong potential and market demand.
Looking ahead, the company aims to solidify its presence in both the public and private sectors while expanding its reach to other global markets.
The Future of ETHIX in Latin America and Beyond
ETHIX represents a game-changing solution for contract transparency and efficiency in Argentina and Latin America. By leveraging AI, this platform provides institutions with a powerful tool to enhance integrity and accountability in procurement processes.
“With ETHIX, Argentina and Latin America have a comprehensive solution to tackle transparency and efficiency challenges in contract management,” concludes Addolorato.
As the demand for ethical and transparent contracting grows, ETHIX is poised to become an indispensable asset in the fight against corruption and inefficiency, setting a new standard in the industry.