Palette, a Copenhagen-based artificial intelligence startup, has secured €3 million in pre-seed funding to develop a model-neutral operating system designed for AI-native teams. The round was led by Ugly Duckling Ventures, with participation from Emblem, Acadian Ventures, and several angel investors.
The startup’s platform addresses a growing challenge in enterprise AI adoption: the need for teams to integrate and switch between multiple AI models while maintaining organizational context and workflow continuity. Rather than locking users into a single model provider, Palette’s operating system creates an abstraction layer that allows seamless transitions across different AI solutions.
Solving Enterprise AI Integration
As organizations increasingly embed artificial intelligence across their operations, teams often find themselves working with various models from different providers. Palette’s approach enables companies to avoid vendor lock-in while preserving institutional knowledge and project continuity. The platform is positioned as infrastructure that becomes essential as AI adoption scales across entire organizations rather than remaining confined to specific departments or use cases.
The company plans to deploy the fresh capital toward expanding its sales efforts and growing its team. This investment strategy reflects confidence in the market demand for enterprise AI infrastructure solutions that prioritize flexibility and portability.
Strong Backing and Vision
Andreas Green Rasmussen, Partner at Ugly Duckling Ventures, expressed confidence in Palette’s potential through a statement highlighting the founding team’s experience and foresight. “We’ve worked with this founding team before, and it’s one of the strongest and most complete teams we’ve backed,” Rasmussen said. “They saw where AI work was heading before it was obvious. We believe Palette can become the operating layer for teams adopting AI across the whole company. That’s why we led the round,” he added.
The endorsement from Ugly Duckling Ventures, a prominent European venture capital firm, underscores investor confidence in both the team and the market opportunity surrounding AI infrastructure development.
Growing European AI Infrastructure Scene
Palette’s funding round reflects the broader momentum in European AI infrastructure development. As artificial intelligence becomes increasingly central to business operations across the continent, startups addressing foundational technical challenges are attracting substantial capital. The funding demonstrates investor appetite for solutions that solve practical deployment challenges rather than focusing solely on model development.
The Copenhagen startup joins a growing cohort of European AI infrastructure companies working to build the underlying systems that enable enterprises to adopt artificial intelligence at scale. With the pre-seed round now secured, Palette is positioned to expand its team and accelerate commercialization of its model-neutral operating system to organizations seeking flexible, scalable AI infrastructure solutions.