AI Code Verification Startup Qodo Raises $70M Series B to Address Enterprise Quality Gap

Quick Facts

• Qodo raised $70M Series B led by Qumra Capital, bringing total funding to $120M since 2022 founding
• Company ranks No. 1 on Martian’s Code Review Bench with 64.3% score, outperforming competitors by 10+ points
• Enterprise customers include Nvidia, Walmart, Red Hat, and Intuit, with Monday.com preventing 800+ issues monthly

New York-based Qodo closed a $70 million Series B funding round led by Qumra Capital to expand its AI code verification platform as enterprises struggle with quality control for AI-generated code.

The round brings Qodo’s total funding to $120 million since CEO Itamar Friedman founded the company in 2022. Participants include Maor Ventures, Phoenix Venture Partners, S Ventures, Square Peg, and executives from OpenAI and Meta.

Qodo addresses a growing enterprise challenge as AI coding tools proliferate. GitHub reports that Copilot now contributes to 46% of code written on its platform, up from previous years. The company’s 4.7 million paid subscribers represent 75% year-over-year growth through January 2026.

The startup recently launched Qodo 2.0, a multi-agent code review system that achieved the top score of 64.3% on Martian’s Code Review Bench. The platform outperformed the next competitor by more than 10 points and Claude Code Review by 25 points.

“The era of unverified AI software development is over,” Friedman said. “At Qodo, we are building a ‘system of record’ for code quality and trust, as enterprises shift from experimental AI to mission-critical automation.”

Friedman previously co-founded Visualead, which Alibaba acquired, and worked at Mellanox on hardware verification using machine learning. He started Qodo after recognizing that “generating systems and verifying systems require very different approaches.”

Enterprise customers include Nvidia, Walmart, Red Hat, Intuit, Texas Instruments, Monday.com, and JFrog. At Monday.com, the platform prevents over 800 potential issues per month while maintaining a 73.8% acceptance rate on code suggestions and reducing review time by up to one hour per pull request.

The funding addresses market timing as independent analysis shows AI-assisted code can increase issue counts by 1.7 times and security findings without proper governance. A survey of 500 developers found 95% review AI-generated code more closely, with 45% requiring additional tests and documentation.

“As we expand the use of AI-assisted development across our platforms, Qodo ensures every line of code meets our standards for performance, security, and compliance,” said Christian Rudolph, Head of Platform Services at TUI Group.

The AI code review market is estimated at $2-3 billion in 2026, growing 30-40% annually. Qodo plans to use the funding to scale enterprise operations globally and expand engineering teams, with immediate hiring at its Tel Aviv office.

Read more: AI-generated code verification startup Qodo raises $70M