Former Amazon Executive’s Startup CodeKarma Bags $2.5 Mn

Enterprise tech startup CodeKarma has raised $2.5 Mn (around INR 22 Cr) in its pre-seed funding round co-led by Prosus, Accel and Xeed Ventures. 

The round also saw participation from SenseAI Ventures and Stargazer Ventures.

The startup will deploy the fresh proceeds to automate and improve its software systems, bolster AI-driven capabilities and expand into new enterprise verticals. 

CodeKarma will also allocate a chunk of the capital to strengthen its global footprint, focusing especially on the US market. It also plans to utilise the funds to hire more and fuel product innovation. 

“This funding is a strong validation of our vision from leading investors and will accelerate our global expansion into enterprise markets, help us attract exceptional talent, and drive continuous innovation across diverse tech stacks and enterprise environments,” founder and chief executive Anantharam Vanchi Prakash said.

Founded in 2024 by former Amazon and Flipkart executive Prakash, CodeKarma operates a software productivity platform which enables developers and AI systems to proactively identify hidden risks, eliminate unused code and ship software faster. 

The company also claims that its proprietary technology creates a closed-loop feedback system that continuously improves code quality, performance, and maintainability.

“CodeKarma gives insights to people across various positions in an organisation, at the level of the abstraction that they need because we know the entire stack of what is really going on. So, of course, it helps the developer but also helps engineering managers, product managers, architects as well as the CTO to make their vision,” the founder said.

He added that the product also natively integrates with almost all the AI tools that are available today, offering the insights and data to the AI tools as well.

Meanwhile, the startup now set its eyes on building an autonomous software intelligence platform in the long run. Prakash said that CodeKarma is building autonomous agents, where it will not simply read the code IDEs and inform what is broken, but act on fixing the problem because the LLM has the insight, the LLM has the code and the LLM can fix it.

CodeKarma, currently, offers autonomous maintenance. “We’re starting from there and we can make progress further where we get these insights, we have the code, we fix them, we deploy them, we get better insights, we have the code, we fix them, we deploy them and then this will get better,” Prakash also said.

The fundraise comes at a time when enterprise tech startups have emerged as the flavour of the season on the back of rising adoption of artificial intelligence (AI). As a result, investors have been making a beeline for companies that help enterprises incorporate the technology and boost existing offerings. 

For instance, AI-driven SaaS startups such as Enlite, Drizz, GobbleCube and Runo have all secured hefty capital in the past few months.

Betting on the innovative AI advancements, TurboHire raised $6 Mn (around INR 52.7 Cr) in its Series A funding round, only a day ago.

Prior to that, Grexa AI secured $1.8 Mn (INR 15.5 Cr) as a part of its seed funding round, last week.

At the heart of all this is the growing Indian SaaS market, which is projected to become a $70 Bn opportunity by 2030.