AI Code Testing Platform Blacksmith Raises $45 Million in Series B Funding
Blacksmith, an AI code testing platform, has successfully raised $45 million in Series B financing, achieving a valuation of $550 million. The funding round was spearheaded by Peak XV Partners, along with contributions from existing investors such as Google Ventures (GV) and Y Combinator, bringing the total investment in the startup to $58.5 million. The funds will be allocated to broaden their range of coding tools to assist developers in writing, validating, and merging software efficiently, as stated in a recent press release.
Established in 2024 by Aditya Jayaprakash, Aayush Shah, and Aditya Maru, Blacksmith offers a cloud-based platform designed for executing GitHub Actions continuous integration (CI) workflows. The enterprise asserts that its platform can operate CI workflows at double the speed and half the cost.
Currently, Blacksmith caters to over 5,000 clients, which include Mercury, Supabase, Clerk, Ashby, and Expensify, a significant increase from fewer than 700 customers just a year ago. Initially, the startup concentrated on CI workloads, assisting organizations with software builds and testing to confirm code integrity before it enters production. Recently, it has broadened its focus to AI-enhanced coding tools, including Codesmith, an AI coding assistant that automatically remedies failed code checks.
In the competitive landscape, Blacksmith contends with GitHub Actions, Cursor Automations, and coding and validation services provided by Codex and Claude Code. Additionally, it faces competition from AI code testing solutions presented by Amazon Web Services, Microsoft Azure, and Google Cloud. The AI-driven software testing market in India is experiencing increased activity, as businesses seek quicker and automated methods for validating software and AI-generated code.
LambdaTest, now known as TestMu AI, stands out as a leading Indian player in this field. It secured $38 million in Series D funding in 2024 to enhance its AI capabilities and expand its testing platform. New entrants such as BotGauge AI are also developing autonomous QA agents, while FinalRun is innovating AI agents for mobile test automation across both Android and iOS using natural-language instructions.
The overarching AI coding surge is further propelling the demand for testing and debugging tools. Emergent, based in Bengaluru, successfully raised $130 million in July 2026, reaching a valuation of $1.5 billion, thanks to its platform that combines testing and debugging functionalities with AI-driven application development.