Blacksmith's AI Code-Testing Platform Valued at $550 Million in Series B

Blacksmith raised $45 million in a Series B round led by Peak XV Partners, achieving a $550 million valuation, up from $60 million less than a year earlier. The startup helps companies test and validate AI-generated code before deployment, serving more than 5,000 customers including Mercury, Supabase, Clerk, and Expensify. The company's Codesmith AI agent automatically fixes failed code checks. With approximately 30 employees and tens of millions in annualized revenue, Blacksmith addresses a critical bottleneck as AI coding tools like Cursor and Claude Code make code generation dramatically faster but raise questions about code quality.