Takeaways by Saasverse AI
- Factory | Series B | $50 Million | Intelligent Agent Development Platform
- Led by NEA, Sequoia Capital, NVIDIA, and J.P. Morgan, with participation from Abstract Ventures, Mantis Ventures, and notable angel investors.
- Factory debuts Droids, a groundbreaking intelligent agent platform for autonomous software development, achieving a $300 million valuation.
Factory, a trailblazer in intelligent agent-native software development, has announced the completion of its $50 million Series B funding round, which brings the company’s valuation to an impressive $300 million. The financing was co-led by industry heavyweights NEA, Sequoia Capital, NVIDIA, and J.P. Morgan, with additional participation from Abstract Ventures, Mantis Ventures, and esteemed angel investors, including Frank Slootman, Nikesh Arora, and Aaron Levie. Alongside the funding announcement, Factory has officially launched its flagship product, the Droids platform, which has already made waves by ranking first on the Terminal Bench—a gold-standard benchmark for AI development tools that places it ahead of competitors like Claude Code and Cursor.
Founded in 2023, Factory is revolutionizing software development by leveraging autonomous software agents that can manage the complete lifecycle of development tasks. The Droids platform is designed to absorb and interpret organizational contexts and engineering tool data, such as version control systems, issue trackers, and incident management tools. This enables its intelligent agents to operate like seasoned engineers, quickly adapting to workflows and making informed decisions. The platform’s open architecture supports multiple large language models (LLMs), integrated development environments (IDEs), and both local and remote deployment options. This flexibility allows developers to assign tasks via terminal, IDE, Slack, Linear, or even web browsers, while the headless mode empowers users to build fully customized agents tailored to unique organizational needs.
What sets Droids apart from traditional AI coding tools is its ability to handle complex tasks within large organizations, including migration, refactoring, testing, documentation, and code reviews. The platform integrates seamlessly with widely-used engineering tools such as GitHub, Slack, Jira, Datadog, Sentry, and Google Drive. By creating "thinking models" that resemble those of experienced human engineers, Droids can onboard rapidly and deliver high-value contributions.
Factory’s Droids platform is already being embraced by leading engineering teams from organizations like EY, NVIDIA, MongoDB, Zapier, Bayer, and Clari. Early adopters report transformative results, including a 31x acceleration in feature delivery, a 96.1% reduction in migration timelines, a 95.8% improvement in on-call response time, and enhanced code quality. These metrics underscore the platform's ability to free developers from routine tasks, enabling them to focus on strategic system design and architecture.
“ The launch of Factory’s Droids platform signifies a pivotal moment for the software development industry. By addressing key pain points such as inefficiency in large-scale migrations and bottlenecks in testing and code reviews, Factory is poised to redefine productivity benchmarks for engineering teams. The backing of prominent investors like NVIDIA and Sequoia Capital further validates the platform’s potential to lead this emerging category. ” Saasverse Analyst comments
Saasverse Insights
Factory's Droids platform represents a broader shift towards autonomous systems capable of managing complex organizational workflows. As the first open platform supporting multiple LLMs and deployment environments, Droids sets a new standard for flexibility and scalability in AI-driven development tools. This funding round highlights growing investor confidence in intelligent agent ecosystems, which are likely to become critical in enabling the next generation of software innovation. Looking ahead, we anticipate increased competition in this space, with platforms like Factory’s Droids driving adoption across enterprise-level engineering teams seeking both efficiency gains and strategic foresight.