Unicorn in 16 Months: The SRE Automation Market is Changing
- Resolve AI Raises $125M in Series A, Achieves $1B Valuation
- Autonomous SRE Platform Created by Splunk Alumni
- Secured Over 20 Enterprise Customers Including Coinbase, DoorDash, Salesforce
What Happened?
AI-powered SRE automation startup Resolve AI raised $125 million in a Series A round, earning a $1 billion valuation.[TechCrunch] Lightspeed Venture Partners led the investment, with additional participation from Greylock Partners, Unusual Ventures, Artisanal Ventures, and A*.[Pulse 2.0]
The company is led by CEO Spiros Xanthos and Mayank Agarwal. Both were co-creators of OpenTelemetry and key figures in Splunk’s observability business unit. They have two previous exit experiences with Splunk and VMware.[Pulse 2.0]
Why Does It Matter?
SRE (Site Reliability Engineering) is the practice of diagnosing and resolving failures in production environments. Traditionally, this involved manually analyzing logs and identifying root causes. Resolve AI automates this process with AI agents.
Unlike GitHub Copilot or Cursor, which focus on the development phase, Resolve AI specializes in production operations. CEO Spiros Xanthos stated that “the next frontier of software engineering is applying AI to production operations.” A multi-agent system encompassing code, infrastructure, and telemetry is key.
It is also noteworthy that they became a unicorn just 16 months after coming out of stealth mode. More than 20 large enterprises, including Coinbase, DoorDash, MongoDB, Salesforce, and Zscaler, are already customers. This signals that large companies are actually starting to spend money on SRE automation.
What Happens Next?
The funding will be used to accelerate product development and expand the engineering/GTM teams. With intense competition already in the observability market, it remains to be seen whether Resolve AI can create a new category of SRE automation.
Existing observability vendors like Datadog and New Relic are also enhancing their AI capabilities. However, it is still uncertain how they will compete with platforms like Resolve AI, which are designed from the ground up with AI agents.
Frequently Asked Questions (FAQ)
Q: What is Resolve AI?
A: Resolve AI is an SRE automation platform that uses AI agents to automatically diagnose and resolve failures in production environments. It was founded by Spiros Xanthos and Mayank Agarwal, co-creators of OpenTelemetry.
Q: How is it different from existing observability tools?
A: Datadog and New Relic focus on monitoring and alerting. Resolve AI goes a step further by automatically analyzing the root cause of failures and suggesting solutions or even executing them directly.
Q: Which companies are using it?
A: More than 20 large enterprises, including Coinbase, DoorDash, MongoDB, MSCI, Salesforce, and Zscaler, are customers. Most of them have complex cloud infrastructures and require high production stability.
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References
- AI SRE Resolve AI confirms $125M raise, unicorn valuation – TechCrunch (2026-02-04)
- Resolve AI: $125 Million Series A At $1 Billion Valuation – Pulse 2.0 (2026-02-04)
- Resolve AI reaches $1 billion valuation in new funding round – Investing.com (2026-02-04)