Today we’re glad to announce that we raised our Series B of $15M led by BrightPixel Ventures and participation by Armilar Venture Partners, Faber Ventures, Caixa Capital, Join Capital, and Iberis Capital.
This is a momentous occasion for Codacy and a celebration of the impact we’ve been having in an ever-evolving, virtually insatiable industry. Many years ago, we could only dream of the footprint we are seeing today.
Beyond our 870 customers, who are our raison d’être, there are many things we’re proud of today. Our first product, Quality, has become a centerpiece of thousands of DevOps workflows, and it hit maturity and scale by enabling hundreds of thousands of developers to ship higher-quality code. We help individual teams understand software quality and enterprise companies standardize processes and quality criteria, one pull request at a time.
We’ve also expanded our horizons by bringing a new product to market: Pulse. Pulse measures engineering performance anchored on proven metrics, which are broken down into actionable insights. We’ve met hundreds of engineering leaders who taught us their most significant problems, and we’ve built a solution and a roadmap to help them.
Our impact on society is more than the products we build. By making transparency more than a simply written value, we’ve enabled professionals to understand compensation by opening our salary brackets. Our invisible contribution surfaces every time we speak with students, professionals trying to understand their value and even HR managers from other companies.
This funding will be focused first and foremost on our product lineup. We see a world of opportunity to help engineering teams, small and large. Our belief is that product is the tip of the spear of our company, which multiplies the efforts of the rest of the organization. This is what you can expect from us and our commitment: our growth will be leveraged on value created through our products.
We can’t wait to tell you all the ways we plan to make your life easier and safer.
As we hope to be part of your journey, we’d like to tell you a bit about ours so far.
Our journey so far
We’ve fought tooth and nail to get to where we are today, and this is also an exciting time to reflect on our journey and to honor the transparency value intrinsic to our team. So let us share our story with you.
Over the last few years, our company has had decisive moments. In 2020, the company had a rough time. We didn’t grow as much as our ambition mandated. We believed the fuel for this growth was a move upstream to the enterprise market, which we were not ready to make in hindsight.
Over the years, we built great products for teams, particularly small agile teams that can adopt our product quickly. The jump to enterprise carried not only a set of table-stakes features but also a deeper appreciation for the different jobs of the product. Our product for our enterprise customers is less about static code analysis (which is valuable to individual teams) as it is about quality standardization (which is valuable for many teams).
We took this obstacle as an opportunity to focus on where we saw a better market fit with our product, which was the market’s self-service segment. This translated to a deeper alignment of our company with what is described as product-led growth. We invested in ensuring the product did a great job for individual teams. We removed obstacles and streamlined our onboarding. We focused on the fundamentals. And we were rewarded for it.
The image above shows our ARR growth of our self-service market segment after we focused our attention on this experience. One of the second-order effects was that we started getting more enterprise requests from teams within larger companies adopting our product. We since then have also strengthened our multi-team features, such as our quality standards or our quality gateways, enabling us to serve our enterprise customers better.
But in tandem with this improvement, we decided to expand our horizon by launching a new product, Pulse, which helps engineering teams understand their performance better in a healthy and culturally mindful way. The product has scaled fast in adoption and, a mere year later, is helping hundreds of organizations to understand their engineering better. We rank this decision as critical in our evolution as a company.
Today we combine more than 870 customers in practically all industries and regions. We have a truly global footprint and help some of the largest, most impactful companies shape the world around us. Our product focus has also led us to regain growth in important customer segments, which includes the Enterprise market. Larger companies depend on our solutions to guarantee quality, security, and performance of their software development.
A glimpse of our future
The reason why we think launching Pulse was so critical to us is that we see a world where software development tools are consolidating, and customers are demanding more and more from each partner, ideally streamlining their relationships and integrating as many data points as possible to make better decisions.
Launching Pulse was also the second step of a long-planned journey. We think today that there is a big opportunity to help our customers through great products that work great together. Over time, and beyond our individual products, you will start to experience the compound synergetic nature of the platform we’re building, all laser-focused on giving software engineering insights.
Internally, we’re calling this the DevOps Intelligence Platform, which aims to help engineering teams of all sizes to analyze, act and anticipate the many challenges they face while building software.
Over time, you’ll have clarity and access to these products and platform. We can’t wait to show them.
A special thank you to our team
This was only possible due to the unwavering commitment of our team to our customers, their safety, and their productivity. I’m truly thankful for your hard work, sacrifice, and dedication to our mission and to each other. Today we re-pledge our dedication to our customers, and we continue to work to help them. Our ethos is represented in how we operate. And as we scale, we know our cultural foundation is strong.
Aspects that other companies struggle with, like remote working or a healthy balance to one’s personal life, are as natural to us as the air we breathe. We’re flattered that our team has decided to impact an industry, own and solve a large set of problems, and grow their careers with Codacy. We’re looking for great people who can increase our success. Join us today!