DevRev Raises Over $100 Million in Series A, Joins AI Unicorn Club

(Reuters) – Customer experience software company DevRev raised $100.8 million in a Series A funding round from Khosla Ventures and others, a surge in interest in artificial intelligence companies.

The latest funding round raised the Palo Alto-based company’s valuation to $1.15 billion, putting it in the unicorn club.

WHY IS THIS IMPORTANT

The rise of artificial intelligence has revitalized venture capital investment, with investors making significant investments in AI startups, hoping to reap significant rewards from widespread adoption of the technology.

Investment in AI startups skyrocketed to $24 billion from April to June, more than double the amount from the previous quarter, according to Crunchbase data.

According to Techcrunch data, 38 startups achieved valuations exceeding $1 billion in 2024, with Elon Musk’s xAi leading the pack at $24 billion.

CONTEXT

DevRev was founded in October 2020 by former Nutanix CEO Dheeraj Pandey. It is an AI-powered customer experience software provider that helps connect end users, resellers, support, product, and developers on a common platform.

Khosla Ventures, which has backed DevRev since 2021, has also backed several well-known brands such as Instacart, DoorDash, and Stripe.

QUOTE

“The project will play a key role in building trust with end users who have inevitably started witnessing the AI ​​hype cycle of broken prototypes and custom, disposable GPT packages that are inherently unmaintainable and insecure,” said Dheeraj Pandey, CEO, DevRev.

(Reporting by Jaiveer Singh Shekhawat in Bengaluru; Editing by Tasim Zahid)