Graphite Secures $52 Million in Series B to Revolutionize AI-Powered Code Review
AI coding assistants are making waves in the tech world, with a growing number of developers embracing these tools to enhance their coding practices. GitHub’s latest survey revealed that a significant majority of developers have already adopted AI-based tools, with Y Combinator partner Jared Friedman noting that a quarter of the W25 startup batch rely on AI to generate up to 95% of their codebases.
As this trend continues to gain momentum, venture capitalists are increasingly backing startups focused on AI-powered programming tools. One such company, Graphite, recently announced that it raised $52 million in Series B funding, led by Accel. The round also saw participation from notable investors, including Anthropic’s Anthology Fund, Menlo Ventures, Shopify Ventures, Figma Ventures, Andreessen Horowitz, and The General Partnership.
Graphite’s Journey and Vision
Founded in 2020 by Tomas Reimers, Greg Foster, and Merrill Lutsky, Graphite began as a mobile development tooling company. However, the team quickly pivoted to focus on code review as the demand for efficient AI-driven feedback on coding practices grew.
The founders bring a wealth of experience to the table: Reimers is a former software developer at Facebook, Foster has held engineering roles at Airbnb and Google, and Lutsky previously founded Posmetrics, a customer feedback solutions firm.
Graphite’s platform now leverages AI models from Anthropic and OpenAI to review code, flag potential errors, and suggest improvements. It even generates fixes for coding issues and summarizes codebases, making it a comprehensive tool for developers.
“Our journey started with an internal tool we built to address our own pain points around code review,” said Lutsky in an interview with TechCrunch. “We shared it with a few former Meta engineers, and the word spread quickly. The demand for Graphite grew louder, and we knew we had something special.”
A Competitive Market for AI Coding Assistants
The AI coding assistant market is rapidly expanding, with major players like GitHub Copilot and emerging startups such as Anysphere, CodeRabbit, and DeepCode, all focusing on AI-driven code review. Even OpenAI has updated its macOS ChatGPT app to directly edit code within popular development tools, while Anthropic, one of Graphite’s investors, also offers its own programming tool.
Despite the fierce competition, Graphite has successfully carved out a niche by addressing key concerns related to the reliability and security of AI-powered tools. Unlike many alternatives, Graphite allows users to customize patterns specific to their codebase, adding an extra layer of security by filtering sensitive information.
Impressive Growth and Future Plans
Graphite’s success is reflected in its rapid growth. The company saw its revenue grow 20-fold in 2024, serving tens of thousands of engineers across more than 500 companies, including Shopify, Snowflake, Figma, and Perplexity. With the new funding, Graphite is positioned for continued expansion, aiming to increase its investment in both product development and scaling its team, particularly at its New York City headquarters.
“We’ve seen incredible growth, and this funding ensures we can continue on our path toward profitability,” Lutsky shared. “We’re excited to invest aggressively in product innovation and scaling our team to meet the demand for AI-driven code review.”
To make its platform even more accessible, Graphite has made its core code review tools available for free to teams of all sizes. Previously, the free version was limited to teams with 10 or fewer members, but the new offering broadens access to a wider range of developers and companies.
A Bright Future Ahead
With approximately $81 million raised to date, Graphite is well-positioned to continue its upward trajectory in the AI-powered coding space. The company plans to use the latest round of funding to further enhance its platform and expand its operations, ensuring it remains a leader in the competitive market of assistive programming tools.
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