LambdaTest, a cloud-based software testing platformhas raised $38 million in a funding round as it looks to expand its presence in existing markets and develop its AI capabilities.

The San Francisco and Noida-based startup’s Series D round was led by Avataar Ventures with participation from Qualcomm Ventures, taking its total funding to $108 million.

LambdaTest provides infrastructure that allows businesses to test their applications on over 5,000 browser and operating system combinations. Rather than maintaining expensive in-house testing labs, companies can use LambdaTest’s cloud platform to validate how well their software works in different environments. (LambdaTest also runs labs with thousands of real devices to test.)

The investment comes as software testing faces increasing pressure from the rise of AI-generated code. According to LambdaTest’s survey of over 1,600 enterprise teams, only 23% of testing bandwidth is spent on test creation and planning, with the majority of time spent on maintenance and operational tasks. such as repairing faulty tests, sorting and debugging, and setting up the test environment.

The startup’s recently launched KaneAI platform, which it describes as an “AI-native quality assurance agent as a service,” aims to automate many of these tedious testing tasks. The system can reduce manual testing script generation efforts by 40-70%. Its HyperExecute platform allows teams to run tests up to 70% faster than traditional cloud grids, with 2.5x faster test resolution and 60% faster error detection.

For regulated industries like financial services and healthcare, public testing cloud infrastructure has served as a disincentive, with not all tests or environments able to run outside of corporate firewalls. The LambdaTest platform includes enterprise security features and compliance certifications, including ISO 27001, SOC 2 Type 2, and GDPR.

“Asad and his team are a force of nature to be reckoned with – in a short span of time, they have disrupted the entire market,” Nishant Rao, founding partner of Avataar, said in a statement. “From creating the first AI-native no-code QA solution to launching the only secure, truly e2e Enterprise test orchestration platform, they have been a game-changer. »

Founded in 2017, LambdaTest serves more than 15,000 customers, including Fortune 500 and G2000 companies in industries such as financial services, insurance, travel, retail and healthcare. Users have run more than 1.2 billion tests on the platform to date. The startup, which competes with companies such as BrowserStack and SauceLabs, plans to deploy new capital to penetrate deeper into its existing markets and also expand its technology stack.

The startup, which counts Premji Invest, Peak to error analysis. Its test intelligence system offers automatic error categorization and intelligent analytics, as well as automatic failed test attempts and test reordering for faster feedback.

“KaneAI is more than a tool: it’s a transformative approach to quality assurance, enabling teams to test smarter and faster, with less manual effort,” said Asad Khan, CEO and co-founder from LambdaTest. “Our foundation on LambdaTest’s cloud platform gives us an advantage in delivering this solution at scale. »