Reducto
by Reducto
Agentic document parsing API that turns complex PDFs, scans and spreadsheets into citation-grounded data for AI, now with the 1¢-per-page r-1 model
Reducto is a document-ingestion API that converts complex PDFs, scans, spreadsheets and slides into structured, citation-grounded JSON for LLM and agent pipelines. It is built for AI engineering and platform teams in finance, legal and healthcare whose agents fail when a parser misreads a table, and it removes the need to stitch together separate OCR, layout and extraction tools.
Reducto is an agentic document-processing API and workspace that turns PDFs, scans, spreadsheets and slide decks into structured, citation-grounded data that LLM applications and AI agents can consume. Founded in San Francisco by Adit Abraham (CEO) and Raunak Chowdhuri (CTO) and backed by Y Combinator, it combines vision-language models with traditional OCR and exposes a family of endpoints: Parse (layout-aware conversion to JSON), Extract (typed fields returned with bounding boxes and citations), Split (segmenting files into sub-documents), Classify (routing with plain-language taxonomies) and Edit, which writes extracted data back into finished PDF and DOCX files, plus Reducto Studio, a no-code environment for building, testing and deploying pipelines. On September 1, 2026 the company released r-1, its first in-house frontier parsing model, which handles layout detection, reading order, tables, formatting, grounding and citations in a single page pass instead of chaining multiple model calls. Reducto prices r-1 at a flat 1 cent per page, against the 3 to 6 cents its legacy agentic pipelines cost, and reports up to a 20% lower error rate, a figure measured against its own earlier system rather than an independent benchmark. r-1 is in preview behind a Parse API configuration flag; a smaller r-1 mini and automatic per-page model routing are planned. Reducto raised a $75M Series B led by Andreessen Horowitz in October 2025, bringing total funding to $108M, names Harvey, Scale AI, Vanta, Airtable and Toast among its customers, and says it processes more than one billion pages a month. It competes with hyperscaler services such as Amazon Textract, Azure Document Intelligence and Google Document AI, and with startups including Extend and Unstructured.
Heads of AI engineering or platform teams whose agents and RAG systems ingest high-stakes documents such as filings, contracts and claims, where a misread table becomes a wrong answer.
One API call that returns accurate, citation-grounded structured data from messy documents, at a flat 1 cent per page for r-1 parsing.
At a Glance
- Category
- Data & Analytics
- Pricing
- Usage-based, Contact for pricing
- Target Market
- CTOs, Heads of AI, Enterprise Developers, Data Engineers
- Deployment
- Cloud-first, API-based, Hybrid
- Founded
- 2023
- Headquarters
- San Francisco, USA
Key Features
- ✓r-1 single-pass parsing model
Handles layout, reading order, tables, formatting and citations in one model pass at a flat 1 cent per page, replacing multi-call pipelines.
- ✓Extract with citations and bounding boxes
Returns typed JSON fields tied to bounding boxes and source citations, so downstream agents and human reviewers can verify every value.
- ✓Split and Classify
Segments long files into meaningful sub-documents and routes them with plain-language taxonomies, useful for mixed packets and bundles.
- ✓Edit API
Writes extracted or generated data back into finished PDF and DOCX files, closing the loop on form-filling and document generation workflows.
- ✓Reducto Studio
No-code workspace to build, test and deploy document pipelines, with per-field accuracy scoring and side-by-side result comparisons.
- ✓Enterprise deployment options
VPC, on-premises and air-gapped deployments on the Enterprise tier for regulated data that cannot leave the corporate network.
Capabilities
Use Cases
- •Financial document ingestion for AI analysts
Parse dense financial tables from filings and statements so research agents quote the correct figures with page-level citations.
- •Contract and agreement processing
Convert contracts and redlined agreements into structured text with preserved reading order and strikethroughs for downstream legal AI review.
- •Claims and healthcare packets
Split and classify mixed claims packets and extract typed fields under a BAA and zero-data-retention agreement on the Growth tier and above.
- •RAG over scanned archives
Turn scanned, watermarked and handwritten document archives into grounded content for retrieval-augmented generation without building a custom OCR stack.
- •Automated form filling
Use the Edit API to populate PDF and DOCX forms from extracted data, removing manual re-keying in back-office workflows.
Ideal For
Best For
- ✓AI teams building agents over financial statements, filings and dense tables
- ✓Legal and compliance platforms that need citation-grounded extraction from contracts
- ✓Healthcare and insurance workflows that require a BAA and zero data retention
- ✓Teams replacing a stitched OCR + layout + LLM extraction pipeline with a single API
- ✓Regulated enterprises needing VPC, on-premises or air-gapped document processing
Not Ideal For
- ✗Teams that need open weights or a self-run model today: r-1 is hosted-only and in preview, with no public weights for independent verification
- ✗Low-volume or simple born-digital PDF workloads where open-source parsers or basic OCR already meet accuracy needs without a per-page fee
- ✗Buyers who require third-party benchmark proof before purchase, since r-1's accuracy claims come from Reducto's own evaluations
Integrations
Deployment
Market Analysis
Pros
- ✓Flat 1¢-per-page r-1 pricing, down from 3-6¢ on Reducto's legacy agentic pipelines
- ✓Citations and bounding boxes on extracted fields support audit and human review
- ✓Broad endpoint set (Parse, Extract, Split, Classify, Edit) plus a no-code Studio
- ✓Enterprise deployment flexibility: VPC, on-premises and air-gapped
- ✓Proven production scale, with more than one billion pages processed monthly per the company
Cons
- ✗r-1's 20% error-reduction figure is measured against Reducto's own legacy system; no public evaluation dataset or methodology has been released (MarkTechPost, Enera)
- ✗r-1 is preview-only and hosted-only, and some legacy API settings are unsupported or ignored when switching to it
- ✗BAAs, zero-data-retention agreements, SSO and VPC/on-prem deployment are gated to Growth or Enterprise tiers with custom pricing
- ✗Crowded category: Hacker News commenters point to Extend, Pulse, Unstructured and open-source Datalab/Surya, and question how durable the moat is as LLMs commoditize PDF extraction
Pricing
Standard
Pay-as-you-go
- ✓$150 in free usage
- ✓r-1 Parse at $10 per 1,000 pages
- ✓Extract and Split at $20 per 1,000 pages
- ✓Deep Extract and Deep Split at $40 per 1,000 pages
- ✓Classify at $7.50 per 1,000 pages
Growth
Contact for pricing
- ✓Custom volume rates
- ✓Business Associate Agreement
- ✓Zero Data Retention agreement
Enterprise
Contact for pricing
- ✓VPC and on-prem deployments
- ✓SSO and SAML authentication
- ✓Role-based access control
- ✓Custom MSA, SLA and rate limits
- ✓Dedicated on-call support
Standard is pay-as-you-go with $150 in free usage: r-1 Parse costs $10 per 1,000 pages, Extract and Split $20, Deep Extract and Deep Split $40, Classify $7.50, and Edit $60 (or $15 for pre-filled pages) per 1,000 pages. Growth and Enterprise use custom volume rates; BAAs and zero-data-retention agreements start at Growth, while VPC/on-prem deployment, SSO/SAML, RBAC and custom SLAs are Enterprise-only. At the r-1 launch Reducto offered up to $5,000 in credits to teams benchmarking it on their hardest documents.
Security & Compliance
Sources
This page was written from 9 sources, 6 on domains other than reducto.ai.
- 1.reducto.ai — parse r 1 modelvendor
- 2.reducto.ai — pricingvendor
- 3.reducto.ai — reducto.aivendor
- 4.prnewswire.com — reducto unveils a frontier parsing model that makes the worl
- 5.prnewswire.com — reducto raises 75m series b to define the future of ai docum
- 6.marktechpost.com — reducto releases r 1 a single pass document parsing model th
- 7.eneralabs.com — reducto r1 enterprise document ai agents 2026
- 8.news.ycombinator.com — item
- 9.news.ycombinator.com — item
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