Humanly Acquires CareerArc, Expanding AI Hiring Tools
Humanly has acquired recruitment marketing company CareerArc, its fifth acquisition since 2025, with no disclosed price. This move falls under the EU AI Act's high-risk employment category, which was delayed until December 2027.
Humanly, based in Bellevue, Washington, and founded in 2018, combines its automated chat, screening, and interview tools with CareerArc's social recruiting software and interactive career site maps, as reported by GeekWire.
CareerArc, established in 2009 and based in Burbank, California, will join Humanly with nine out of its thirteen staff transitioning. Prior acquisitions include Sprockets, Qualifi, HourWork, and Anthill.
The company has raised $52 million in total, with a recent $25 million funding round in April. With over 120 customers, including Microsoft, Domino's, and MGM Resorts, Humanly is creating a distinct category under European law.
The AI Act classifies AI used for recruitment and selection as high-risk, including tasks like screening applications and evaluating candidates. Despite this, European employers remain cautious, with a Morgan McKinley survey showing over half of UK employers not using AI for hiring, and candidates expressing concerns about AI's role in the process.
The consolidation strategy focuses on volume, as high-volume employers seek solutions to handle increasing application numbers, partly driven by generative AI.
Alina Maria Stan, co-founder and COO of Tekpon, contributes to this story as an expert in shaping team connections and SaaS adoption.