Aura launches AI-powered app to monitor kids’ online activity with $140M funding

Boston cybersecurity firm Aura is launching a new AI-powered smartphone monitoring app designed to help parents track their children’s online activities while respecting their privacy. The company, which has raised $140 million in fresh venture capital funding, has developed this tool in response to growing concerns about children’s digital safety and wellbeing. With annual recurring revenue of $165 million and a goal to reach profitability within two years, Aura’s expansion into family safety technology represents a significant evolution in how parents might approach digital supervision.

The big picture: Aura’s new smartphone monitoring app uses artificial intelligence to help parents keep track of their children’s online activities and detect potential behavioral warning signs.

• The service starts at $32 per month for a family and monitors chat conversations for emotional expressions and stress signals.
• The app provides parents with reports about their children’s app usage and device habits while attempting to maintain appropriate privacy boundaries.

Why this matters: Digital safety tools for children represent a growing market as parents struggle to navigate the complex landscape of online risks without being overly intrusive.

• The app was developed in consultation with child clinicians and psychologists at Boston Children’s Hospital, giving it clinical credibility.
• Experts suggest such tools should serve as conversation starters rather than surveillance mechanisms or parenting replacements.

What they’re saying: Clinical psychologists view this type of technology as potentially valuable when used appropriately as part of ongoing parent-child communication.

• “These tools should be used as a starting point for conversations,” advised clinical psychologist Margaret Morris, emphasizing the relational aspects of digital safety.
• Experts caution that AI monitoring should complement rather than replace active parenting and open discussions about children’s online experiences.

Behind the numbers: Aura is expanding its business model with significant financial backing.

• The company recently secured $140 million from investors including Ten Eleven Ventures, Madrone Capital, and AT&T Ventures.
• With $165 million in annual recurring revenue, Aura has launched a billboard advertising campaign in South Station to increase brand visibility.

Personal motivation: Aura’s CEO Hari Ravichandran developed the app partly in response to a personal incident involving one of his own children, adding a personal dimension to the company’s business strategy.