AI code testing platform Blacksmith has raised $45 million in Series B funding at a valuation of $550 million. The round was led by Peak XV Partners, with participation from existing investors Google Ventures (GV) and Y Combinator, taking the startup’s total funding to $58.5 million. The proceeds will be used to expand into a broader suite of coding tools and help developers write, validate, and merge software faster, Blacksmith said in a press release. Co-founded in 2024 by Aditya Jayaprakash, Aayush Shah, and Aditya Maru, Blacksmith provides a cloud platform for running GitHub Actions continuous integration (CI) workflows. The startup claims its platform can run CI workflows up to twice as fast at half the cost. Blacksmith now serves more than 5,000 customers, including Mercury, Supabase, Clerk, Ashby, and Expensify, up from more than 700 customers less than a year ago. The startup initially focused on CI workloads, helping companies run software builds and tests to validate code before it reaches production. It has since expanded into AI-powered coding tools with Codesmith, an AI coding agent that can automatically fix failed code checks. Blacksmith competes with GitHub Actions, Cursor Automations, and coding and validation capabilities offered by Codex and Claude Code. It also faces competition from AI code testing tools offered by Amazon Web Services, Microsoft Azure, and Google Cloud. India’s AI-powered software testing segment is also seeing more activity as enterprises look for faster and automated ways to validate software and AI-generated code. LambdaTest, now TestMu AI, is among the prominent Indian players in the segment. It raised $38 million in a Series D round in 2024 to strengthen its AI capabilities and expand its testing platform. Newer players such as BotGauge AI are building autonomous QA agents, while FinalRun is developing AI agents for mobile test automation across Android and iOS using natural-language instructions. The broader AI coding boom is also driving demand for testing and debugging tools. Bengaluru-based Emergent raised $130 million in July 2026 at a valuation of $1.5 billion, with its platform offering testing and debugging capabilities alongside AI-led application development. Bareback Media has recently raised funding from a group of investors. Some of the investors may directly or indirectly be involved in a competing business or might be associated with other companies we might write about. This shall, however, not influence our reporting or coverage in any manner whatsoever. You may find a list of our investorshere.
