Codacy raises $15M in Series B
Codacy, a platform that helps software development teams to shiphigh-quality code faster, has raised a $15m Series B funding round, markinganother milestone in its journey to become the leading provider for DevOpsIntelligence. Bright Pixel Capital, a leading technology investment groupfocused on digital infrastructure software, cybersecurity, and retailtechnology, led the round. Existing investors Armilar Venture Partners, FaberVentures, Join Capital, Caixa Capital, EQT Ventures and Iberis Capital alsoparticipated in the round.
In a world where most companies want to digitalise and where there is anever-growing shortage of developers to meet those demands, there is anincreasing need for tools that improve the efficiency of engineering teams.This need is the key driving force behind the fast-growing global DevOpsmarket, which is expected to reach $52 billion by 2030.
As companies increasingly have critical digital backbones, lack of codequality and technical debt can act as severe drags for companies in anincreasingly competitive and globalised market. Capitalising on this marketopportunity, Codacy is rapidly becoming the number one choice for software-ledorganisations who want to standardise software and guide teams to fullengineering performance.
More than 300,000 developers and 870 customers worldwide already useCodacy’s platform. These customers include international corporations such asPanasonic, Delivery Hero, Harvey Nichols and Delhivery. The platform directlyaddresses the growing need of organisations to rapidly deliver high-qualitysoftware, ultimately increasing the efficiency and competitiveness oforganisations.
Codacy’s product suite provides actionable data-driven insights,including vital information on code quality, security, compliance, engineeringhealth and performance. It seamlessly integrates into the developers’workflows, allowing customers to ship high-quality code in over 40 programminglanguages.
Codacy’s Quality productdecreases time spent on quality monitoring by up to 60% through automated codereviews. Over the last twelve months, Codacy fixed more than 20,000,000vulnerabilities (that is, over 60,000 vulnerabilities per day), significantlyreducing the failure rate of new code releases and increasing the reliabilityof its customers’ code bases.
Codacy’s second and newest product, Pulse,enables teams to measure the engineering performance metrics that correlatewith higher business impact and a strong, cohesive culture. Pulse was released out of beta earlier this year.
Jaime Jorge, CodacyCo-Founder and CEO, explains: “Today marks an exciting milestone for us. The new investment, and ourgrowing customer base across the globe, validate our mission to help developersand dev teams reach their full potential. Driven by our continued focus onbuilding a category leader in the software space, we will continue to invest inour platform, helping companies manage software quality efficiently and provideactionable insights on development processes. We’re delighted to welcome BrightPixel Capital as a specialist investor with such deep sector expertise to further accelerate thedevelopment of our DevOps Intelligence Platform.”
Eduardo Piedade, CEO of Bright Pixel Capital said: “At Bright Pixel, we arevery familiar with the challenges that companies face in an ever more digitalworld. Measuring and improving code quality, security and productivity areincreasingly crucial tasks for companies that want to stay competitive.Codacy’s DevOps intelligence platform presents itself as the right solution forthese needs by providing a suite of products that provide actionable insightsto both developers and engineering leaders. We are proud to lead this round andlook forward to supporting this incredible team on their mission to helpdevelopers ship better code, faster.”
Scott Anderson, Senior VP ofProduct & Engineering at Vevo, said: “A lot of our YouTube publishing pipeline is now coveredthrough this [Codacy]. (…) it hit 70% code coverage across those pieces, andwe’ve reduced our tech support time by about 60%. For most of these legacysystems that had outages or blips on an almost daily basis, we’ve reduced thatsignificantly, to where we are not in rapid response or firefighting mode allthe time.”
The Series B financing comesat a time of significant growth for the company. In the past year, the companystrengthened its global footprint, growing the customer base in the US,resulting in an acceleration in year-on-year growth, on the back of strong unitof economics including net dollar retention. It was also recognised for itsexcellence in R&D by the PortugueseNational Innovation Agency.
This recent raise will supportCodacy’s continued focus on enabling engineering teams to reach their fullpotential by providing insights into the development process. The financingwill continue to fuel Codacy’s product innovation and development andaccelerate global growth, with a focus on expanding its existing presence inthe US market.
Additionally, the remote-first company plans to hire additional seniortalent for its engineering, support, and success teams, as well as its salesand marketing team across Europe, planning to double its headcount to over 100employees by the end of 2022.
