Blacksmith has raised $66 million in a Sequoia Capital-led Series C, reaching a $1 billion valuation. The Blacksmith Series C comes just two months after the software testing startup was valued at $550 million.
The funding round included Premji Invest and existing investors Peak XV Partners, GV and Y Combinator. Blacksmith has now raised $125 million in total, reflecting strong investor interest in software development infrastructure.
The company previously secured $45 million in Series B funding in August. About a year earlier, it raised $10 million in Series A financing at a $60 million valuation.
Blacksmith Series C supports AI code testing expansion
Blacksmith provides continuous integration infrastructure that automatically builds, tests and validates software changes. Its services help developers manage growing volumes of code generated by AI coding agents. As automated coding accelerates development, companies need more computing capacity to verify changes before deployment.
In a company blog post, co-founder and CEO Aditya Jayaprakash said traditional testing infrastructure is struggling to keep pace with AI-assisted development. He also shared the announcement on X.
Blacksmith reports that annual recurring revenue has grown 17-fold since January. Weekly continuous integration jobs have increased from 5 million to more than 90 million. Customers include Mercury, Granola, Handshake and LangChain. The company says its infrastructure can handle sharp fluctuations in computing demand.
The funding will support hiring and expanded computing infrastructure. Blacksmith currently manages nearly 10 megawatts of computing capacity across U.S. and European data centers. It plans to increase that footprint fivefold in 2027 to support growing demand for automated software testing.
