Klarent Raises $8M to Automate Enterprise Software Testing With AI

Zurich-based Klarent has raised $8 million in seed funding to automate enterprise software testing using AI agents. The round was led by Mosaic Ventures, with participation from Moonfire Ventures and a group of angel investors.

Founded in 2023 by former Google engineers Asheem Panakkat and Momchil Ivanov, Klarent is building AI-powered software testing technology designed to help companies test applications more efficiently as AI-generated code becomes increasingly common.

The funding will support engineering development and commercial expansion, with much of the investment earmarked for sales hiring in the United States and the United Kingdom. Klarent currently has 25 employees.

From Google to AI-powered software testing

Panakkat previously worked as a software engineer and engineering manager at Google, contributing to products including Maps, Search, Shopping and Lens. In 2023, he and his former colleague Ivanov left Google to establish Klarent.

The company initially focused on evaluation tools for large language models. Its founders later shifted towards software quality assurance after identifying an opportunity to automate the testing of software, particularly as AI tools generate more code.

Traditional software testing can require significant manual effort. Teams need to create test cases, run them across applications, identify failures and verify that fixes work as expected. For large enterprises, this process can become expensive and slow down software releases.

Klarent aims to automate much of this work through AI agents that generate and reuse test code.

How Klarent's testing approach works

Klarent's approach differs from systems that rely on AI models making decisions continuously while a test is running.

Instead, its agents write tests that can be reused, with caching helping reduce repeated model calls and associated costs. The company describes this approach as "deterministic autonomy", aiming to make automated testing more predictable and suitable for enterprise environments.

Human oversight remains part of the process. According to the company's explanation in the source report, a human-in-the-loop service checks results, while AI models continue to play a role in writing and repairing tests.

Klarent says one customer runs approximately 3,500 tests per day, offering an example of the volume its system is designed to handle.

The broader goal is to help organisations test complex workflows across multiple systems. For example, an online retail transaction may involve placing an order on a website, processing it through an order management system and passing the information to delivery systems. Testing the complete journey can require coordination across several applications.

Klarent aims to automate these workflows while reducing the manual effort involved in maintaining test scripts.

Investors back the enterprise testing opportunity

Mosaic Ventures led the seed round, with Moonfire Ventures also participating. The angel investor group includes Harris Barton, AngelInvest Ventures and Jürgen Galler, identified in the source report as a former Google director, alongside other backers.

Mosaic partner Chandar Lal sees traditional outsourced quality assurance as a major market for disruption. Many organisations have historically relied on large teams to write test scripts and manually operate applications. Klarent aims to automate more of that work through reusable AI-generated tests.

The opportunity comes as businesses adopt AI coding tools that can generate software faster. More code can mean more testing requirements, making quality assurance an important part of the development process.

Klarent is competing in a market that includes AI testing startups and established enterprise software providers. Companies such as Octomind, QA Wolf and Momentic are also developing approaches to software testing automation, while established providers are adding AI-based capabilities to existing products.

How Klarent plans to use the $8M

The company plans to use the funding to expand its engineering capacity and grow its commercial presence, particularly in the United States and the United Kingdom.

Sales hiring will receive the largest share of the investment, according to Panakkat, as Klarent looks to reach more enterprise customers. Engineering development will also remain a priority.

The company's longer-term vision is a software development environment in which AI agents write applications while other agents review and test the resulting code.

That vision depends on whether automated testing can deliver reliable results across the complexity of real enterprise systems. Klarent's next challenge will be turning its technology and early customer activity into wider adoption.