Resolve AI, a startup focused on automating system reliability engineering (SRE) — the process of identifying and resolving system failures — has confirmed it raised $125 million in a Series A round, valuing the company at $1 billion.
The funding round was led by Lightspeed Venture Partners, with participation from existing investors including Greylock Partners, Unusual Ventures, Artisanal Ventures, and A*.
The announcement confirms a December report that revealed Resolve AI was in the process of raising a round led by Lightspeed at a unicorn valuation.
At the time, sources told TechAmerica.ai that the financing may have been structured in multiple tranches at different prices. This setup can result in a blended valuation below the headline figure. However, a Resolve AI spokesperson disputed that characterisation, stating that 100% of the equity in the round was sold at a $1 billion valuation, with no lower-priced tranches.
As previously reported, multi-tranche structures — when they do occur — often allow confident investors, typically the lead investor, to acquire a larger equity stake at more favourable pricing.
Resolve AI was co-founded in early 2024 by former Splunk executives Spiros Xanthos and Mayank Agarwal. The pair previously founded Omnition, which was acquired by Splunk in 2019.
Resolve operates in an emerging category often referred to as AI SRE, which applies artificial intelligence to detect, diagnose automatically, and remediate system outages. Another startup working in this space is Traversal, which Sequoia Capital backs.
The rapid rise of AI-driven SRE tools reflects growing demand from enterprises seeking to reduce downtime and manual intervention as software systems become increasingly complex.
