Blacksmith Raises $45 Mn in Series B Led by Peak XV at $550 Mn Valuation

San Francisco-based AI code-testing platform Blacksmith has raised $45 million in a Series B round at a $550 million valuation. The round was led by Peak XV Partners, with participation from existing investors Google Ventures (GV) and Y Combinator.

The latest round takes Blacksmith’s total funding to $58.5 million. The startup said it will use the capital to expand into a broader suite of coding tools and help developers write, validate and merge software faster.

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 company claims its platform can run CI workflows up to twice as fast while costing half as much.

Blacksmith now serves more than 5,000 customers, including Mercury, Supabase, Clerk, Ashby and Expensify. Its customer base has grown sharply from over 700 customers less than a year ago.

The startup initially focused on CI workloads, helping companies build and test software 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, Codex and Claude Code, as well as AI-powered code testing offerings from Amazon Web Services, Microsoft Azure and Google Cloud.

India's software testing ecosystem is seeing similar activity. LambdaTest, now operating as TestMu AI, raised $38 million in a Series D round in 2024 to strengthen its AI capabilities and expand its testing platform. Newer startups such as BotGauge AI are developing autonomous QA agents, while FinalRun is building AI agents for mobile test automation on Android and iOS that use natural-language instructions.