WHY THIS MATTERS IN BRIEF
Many companies suffer outages that then take hours or even days to fix, but what if swarms of AI agents fixed problems before or as they appear autonomously?
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Resolve AI, a startup building AI agents to find and fix problems in live software systems, just hit a $1 billion valuation in a new funding round. The company has raised $125 million in a deal led by Lightspeed Venture Partners, the startup plans to announce Wednesday. Existing investors Unusual Ventures, Artisanal Ventures and A* also participated, along with Greylock Partners, which led the startup’s $35 million seed round in late 2024.
Resolve AI launched from stealth in late 2024 and has since signed on more than 20 customers, according to the startup, including big names like Salesforce, Coinbase and DoorDash. For those companies, going offline even for a minute can be extremely costly, said Resolve AI Chief Executive Officer Spiros Xanthos. The startup’s software aims to limit downtime by monitoring customer-facing systems automatically resolving software problems by identifying and then proactively and autonomously fixing the problem – whatever it might be.
Co-founders Xanthos and Chief Technology Officer Mayank Agarwal began their careers as developers. The two started Resolve AI after leaving Splunk, the data platform Cisco Systems acquired in March 2024 for $28 billion – Splunk had acquired Xanthos and Agarwal’s prior company, Omnition, in 2019.
As developers, Xanthos and Agarwal spent about 80% of their time maintaining tools that were already live with customers rather than building new features, Xanthos said.
Resolve AI aims to offload much of that job to Artificial Intelligence (AI) agents, which are software programs that can take actions autonomously. The startup’s tech keeps tabs on software systems — including the source code, connected databases – which in some cases are also increasingly being created by AI Agents – and underlying infrastructure. When something breaks on the front end, the agents can find the issue’s root cause and resolve it automatically, Xanthos said, reducing downtime without requiring engineers to be on call to manually intervene.
The agents also help keep the system healthy and secure, he said, flagging potential vulnerabilities and performance degradation.
Resolve AI is part of a growing wave of companies applying AI to software development. While buzzy coding agents like Cursor or Claude Code can help developers generate new code much faster, Resolve AI focuses on software that’s already working.
The startup uses frontier AI models as well as its own in-house models to build its AI agents. Xanthos said Resolve AI plans to use the new capital infusion to continue investing in its own models, accelerate its go-to-market strategy and hire more engineers.
Fierce competition for AI talent could complicate recruiting. But Xanthos said that the startup has been able to pull from top labs, noting that 14 of its some 120 employees hail from Google’s DeepMind. Many of the startup’s prospective employees also have their own experiences with software production.
“Each one of them has probably dealt with stressful, tedious production-related work,” Xanthos said. “So these people understand the problem, it’s personal to them, and they understand the impact this solution can have,” he said.
