Catecut

Based in Iceland, Sowilo ehf doing business as Catecut, provides innovative AI-driven solutions designed to enhance the functionality of fashion e-commerce by automating product page content creation for retailers. Founded in 2024 in Iceland, Sowilo ehf doing business as Catecut, specializes in AI technologies tailored for the fashion e-commerce sector. The company was founded by Heidrun Osk Sigfusdottir, who also serves as the CEO. The company was established to address inefficiencies in online retail by automating content generation.

Catecut has secured funding through a pre-seed round on July 21, 2026, with backing from Kría fund, TGC Capital, and other investors. Catecut specializes in advanced AI-driven solutions tailored for the fashion e-commerce sector. The company's primary offering is a proprietary AI platform that automates the creation of product page content, enabling retailers to generate accurate, on-brand, multi-lingual, and SEO-optimized descriptions for apparel and accessories from product images in real time. This technology addresses significant pain points in the online retail space, such as inadequate product information and high return rates, by enhancing shopper understanding and confidence.

Catecut serves a diverse clientele, including fashion retailers and e-commerce platforms, with the capability to adapt its solutions based on specific brand attributes, thereby ensuring a personalized shopping experience. Their services are marketed primarily in North America and Europe, catering to both established brands and emerging retailers looking to optimize their online presence and sales efficiency. Catecut's revenue model is structured around B2B partnerships with fashion retailers and e-commerce platforms, facilitating direct integration of their AI solutions into existing product management systems. The company generates income through subscription fees for its software services, which provide continuous access to the AI-driven content creation technology.

Retailers pay for this service based on their inventory size and specific feature needs, which may include multi-lingual support and enhanced search functionalities. Catecut's flagship product effectively streamlines content generation and product tagging, contributing to faster product availability on retail sites and potentially increasing overall sales for their clients. The direct-to-consumer aspect is not a focus of their business model, as their primary clients are brands and retailers seeking to improve their in-store digital experiences. In July 2026, Catecut raised pre-seed funding from investors, including Kría fund and TGC Capital.

This investment is aimed at further developing the Catecut platform, expanding into new international markets, and accelerating the adoption of its Shopify app among fashion retailers worldwide. The company plans to launch new features and enhance its existing offerings to support these initiatives.