Innodata
Innodata, founded in 1988, is a data engineering and AI solutions provider headquartered in New York.
Profile
Innodata provides data engineering and AI solutions to help companies train and deploy generative and traditional AI models.
Innodata, founded in 1988, is a data engineering and AI solutions provider headquartered in New York. The company specializes in high-quality pre-training data, agentic AI evaluation, and model safety, catering primarily to large tech companies and enterprises. As of Q1 2026, Innodata reported record revenue of $90.1 million, a 54% year-over-year increase, driven by significant engagements with major tech firms.
Adjusted EBITDA for the quarter stood at $25.0 million, reflecting a 96% growth from the previous year. The company’s cash position also strengthened to $117.4 million, with no appreciable debt. Innodata’s recent success is attributed to its ability to embed itself deeply into customers’ AI development pipelines, particularly through its Evaluation and Observability Platform, which has garnered interest from hyperscalers.
The company’s largest customer, previously accounting for zero revenue, is now expected to generate $51 million in 2026, making it Innodata’s second-largest client. Despite customer concentration risks, Innodata has diversified its client base, with six of its eight major big-tech customers forecasted to grow substantially in 2026. The company’s focus on AI innovation and strategic partnerships positions it for continued growth in the rapidly evolving AI landscape.
Who buys this
- Large technology companies
- Enterprises requiring AI model training
- Federal and sovereign AI markets
- Hyperscalers and cloud computing companies
- Legal and financial information providers
Strengths and what to watch
Strengths
- Deep expertise in high-quality pre-training data and AI model evaluation
- Strong relationships with major tech companies, including hyperscalers
- Robust financial performance with significant revenue and EBITDA growth
Watch for
- Customer concentration risk, with a significant portion of revenue tied to a few large clients
- Intense competition from established players like Accenture and Cognizant
- Potential challenges in scaling new AI platforms and partnerships
Recent moves
Key Information
- Founded
- 1988
- Employees
- 12200
- Headquarters
- New York
- Country
- United States
Frequently Asked Questions
What does Innodata do?
Innodata specializes in data engineering and AI solutions, helping companies train and deploy generative and traditional AI models. Founded in 1988, it focuses on high-quality pre-training data, agentic AI evaluation, and model safety, primarily serving large tech companies and enterprises.
How has Innodata performed financially recently?
In Q1 2026, Innodata reported record revenue of $90.1 million, a 54% year-over-year increase. Adjusted EBITDA grew 96% to $25.0 million, and the company’s cash position strengthened to $117.4 million, reflecting robust financial performance driven by major tech engagements.
Who are Innodata's main customers?
Innodata primarily serves large technology companies, enterprises requiring AI model training, federal and sovereign AI markets, hyperscalers, and legal and financial information providers. Its customer base includes major tech firms, with six of eight forecasted to grow substantially in 2026.
What are Innodata's strengths?
Innodata excels in high-quality pre-training data and AI model evaluation. It has strong relationships with major tech companies, including hyperscalers, and demonstrates robust financial performance with significant revenue and EBITDA growth, positioning it as a leader in AI innovation.
What risks does Innodata face?
Innodata faces customer concentration risks, with a significant portion of revenue tied to a few large clients. It also competes with established players like Accenture and Cognizant and may encounter challenges scaling new AI platforms and partnerships.
What recent news has Innodata made?
In May 2026, Innodata reported record Q1 results, with $90.1 million in revenue and $25.0 million in adjusted EBITDA. The company’s largest customer, previously generating zero revenue, is now expected to contribute $51 million in 2026, marking significant growth.
Sources
- investor.innodata.com — Q1 2026 financial results and strategic engagements
- finance.yahoo.com — Customer expansion and competitive landscape
- innodata.com — Case studies and client engagements
- investor.innodata.com — Quarterly financial results