This week saw over $11B in DevTools and AI infrastructure funding, spanning model development, agent security, observability, and hardware acceleration. Capital continues to concentrate around tools that sit directly in the execution path, where software is built, run, and debugged in production environments.
Alongside the funding activity, SpaceX’s reported $60B acquisition of Cursor stands out as a major signal of consolidation in AI coding tools, as developer workflows become increasingly embedded into larger compute and AI platforms.
🏆 DevTools Funding Wins
Undo Secures $37 Million for AI-Powered Root Cause Analysis
Undo closed a $37 million round led by Elsewhere Partners. Founded by Greg Law, the 14-year-old Cambridge company records and replays full program execution histories, giving engineering teams and AI agents the runtime context needed to diagnose complex software failures. As coding agents generate more production code, runtime understanding is becoming more important for debugging complex systems. 🔍 A strong win for developer observability. Read the company’s announcement here.
Sarvam AI Becomes India’s Newest AI Unicorn After $234 Million Round
Sarvam completed a $234 million first close of its Series B at a $1.5 billion valuation, co-led by HCLTech and Bessemer Venture Partners. Founded by Vivek Raghavan and Pratyush Kumar, the company builds AI models and infrastructure focused on Indian languages, coding, cybersecurity and enterprise deployments. The funding strengthens one of the most ambitious efforts to build sovereign AI infrastructure outside the US and China. 😎 A major milestone for India’s AI ecosystem. Read the team’s blog post here.
NeuralTrust Raises $20 Million for AI Agent Security and Governance
NeuralTrust raised a $20 million seed round led by Alstin Capital. Founded by Joan Vendrell Farreny, Victor Garcia and Alejandro Domingo, the company helps enterprises discover, monitor and secure AI agents across their environments. NeuralTrust says it now inspects millions of agent interactions daily. It has also contributed new attack techniques to the OWASP AI Security Project taxonomy. 🛡️ Congrats! Find out more about what this raise means for the company here.
BoolSi Picks Up $6 Million to Compile Software Into Hardware Accelerators
Boston startup BoolSi raised a $6 million seed round led by Fine Structure Ventures. Founded by Mihailo Isakov, BoolSi is building a compiler that learns program behaviour and converts software hotspots into FPGA-based hardware accelerators without requiring developers to write hardware description languages. The Boston-based team is initially targeting embedded and robotics workloads, where latency and power efficiency matter most. A private beta is planned for Q3 2026. ⚡ Interesting take on collapsing software-to-silicon workflows. Welldone! BoolSi’s seed announcement can be found here.
KLIPY Raises $3.8 Million for Developer APIs for GIFs, Memes and AI Media
KLIPY raised $3.8 million and joined Google’s AI Futures Fund. The company provides APIs that help developers integrate GIFs, stickers, clips and AI-generated media into applications while giving creators and rights holders tools for distribution and monetisation. The founding team includes Frank Nawabi, who previously built Tenor before its acquisition by Google in 2018. 🎨 Interesting infrastructure for the next generation of digital expression. Head to KLIPY here.
DeepSeek Raises $7.4 Billion for Open-Source AI Models and Agent Tools
DeepSeek AI, the Chinese startup behind open-source AI models and agent tooling, raised more than $7.4 billion at a valuation above $50 billion. Investors included Tencent, CATL, JD.com, NetEase, IDG Capital and China’s National AI Fund, while founder Liang Wenfeng retained significant control through the deal structure. The funding gives DeepSeek substantial resources to expand model development, infrastructure and hiring as competition around foundation models continues to intensify.🐳Find out more here.
🚀 New DevTools Launched
Mozaik Launches a TypeScript Framework for Event-Driven AI Agents
Mozaik is a TypeScript framework from JigJoy (founder Miodrag Vilotijević) for building reactive, event-driven AI agent systems. It lets agents listen, react, collaborate and coordinate through semantic events instead of predefined workflows. The goal is to support multi-agent systems that behave more like teams than pipelines.🚀 A fresh approach to agent collaboration. Give it a try.
Autosana Adds Cloud Testing on Real iOS and Android Devices
Autosana (YC S25), the startup building an end-to-end testing layer for coding agents, now supports cloud testing on real iOS and Android devices. Teams can run tests across Samsung, Xiaomi, Pixel, iPhone and iPad hardware without maintaining device labs, combining real-device and simulator-based testing across mobile and web apps. 📱 Useful progress for teams shipping across fragmented device ecosystems. Check it out.
Swytchcode Launches a CLI for Reliable API Execution by AI Agents
Swytchcode launched Swytchcode CLI on Product Hunt. Announced by founding DevRel engineer Chaitrali K. on Product Hunt this week, the tool sits between AI agents and 2,000+ APIs, adding retries, idempotency, authentication and policy controls so production execution is more reliable. It targets one of the biggest failure modes in agent systems: fragile API interactions. 🔧 Reliable execution is still a hard problem. Explore what the team has built and show your support on Product Hunt.
📆 Upcoming Events
DevRelCon NYC 2026| July 22–23, 2026 | Industry City, Brooklyn, NYC |
Talks and workshops on AI developer tooling, agentic platforms, DevEx, and developer adoption strategies. 🎤
⚒️ DevTools Job Opportunities of the Week
Senior Solutions Engineer | London – OTE £190k | Texas, Chicago, New York, Boston – OTE $220k
- The Role Senior customer-facing pre-sales role for a developer-first AppSec platform.
- What You’ll Do Lead enterprise sales cycles, run Proof of Value engagements, and integrate the product into CI/CD pipelines and developer workflows.
- Requirements 6 to 8 years in customer-facing or pre-sales engineering, with strong depth across DevOps, AppSec, and CI/CD.
- Best Fit Engineers who can read code, understand vulnerabilities, and speak credibly with senior technical stakeholders.
Contact Louise Ogilvy for more information and to apply.
Got launch news or funding to share? Send it to Natalie Harper.
Want more details on the opportunities here or want to register your resume with us, reach out to Becca Combe MIRP CertRP and Louise Ogilvy directly.
Keywords: AI, devtools, funding, agents, infrastructure, observability, security, tooling, developers
