NotCo Uses AI to Help Food Companies Replace Ingredients

NotCo, a San Francisco-based food technology company, develops AI tools that help large food manufacturers create plant-based alternatives and identify substitute ingredients. The company works with clients including Kraft Heinz, Ferrero, and Coca-Cola.

NotCo was founded in 2015 by Matias Muchnick, who previously started a plant-based food company in Chile. 5 billion. Muchnick remains the largest shareholder with an estimated 20 percent stake. The company operates two divisions. One division sells AI enterprise software to food manufacturers.

The other produces consumer food products such as NotMilk and NotBurger that demonstrate the technology. The software division reports an estimated 70 percent gross margin.

Heinz has developed 30 new products with NotCo through a joint venture, including macaroni and cheese, cheese slices, and sausages. Ferrero began working with NotCo after cocoa prices rose in 2024. The company uses the AI system to test ingredient combinations that maintain taste and texture while reducing reliance on volatile commodities.

The AI model, named Giuseppe, draws on molecular data, consumer information, and regulatory records to generate new formulations. Muchnick said the system addresses problems that traditional formulation methods cannot solve efficiently. NotCo products are sold primarily in Latin American markets.

The consumer division grows at approximately 30 percent annually and is approaching profitability. The company reported $75 million in estimated annual revenue last year, with the AI business growing 300 percent. A report from Bright Green Partners projects the market for AI in food processing will expand from $15 billion in 2025 to $140 billion by 2034.