The AI-powered software world has pushed programmers to write more, faster, and smarter, often with generative AI tools. But rushing can be risky. Enterprises use AI-generated code in product development, raising security concerns about guardrails and reliability. Qodo, an Israeli startup, redefines writing production-ready code in the AI era, emphasizing code integrity over just generation. It’s becoming the platform of choice for development teams that want speed and confidence.
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Code Creation to Code Confidence
Qodo (formerly CodiumAI), founded in 2022 by entrepreneurs Itamar Friedman and Dedy Kredo, was created based on the idea that as AI code production increases, ensuring its correctness, testability, and maintainability becomes increasingly crucial. Unlike GitHub Copilot, which only suggests code, Qodo emphasizes quality assurance with tools like TestGPT for automatic unit tests.
Over the course of a year, it expanded into a comprehensive platform for managing AI code throughout its lifecycle, including Qodo Merge for pull request reviews, CoverAgent for test coverage analysis, Qodo Gen as a generative coding assistant, and QodoEmbed-1, an advanced code model for search and retrieval. These tools not only generate and review code but also establish proof-based development pipelines for software teams.
Speed and Scale Adoption
Qodo has achieved rapid success in the developer tools space, reaching product-market fit much faster than most startups. By mid-2025, over one million users had installed Qodo’s developer tools across JetBrains and VS Code. Its enterprise platform, launched in 2024, attracted prominent customers such as Intel, HiBob, and MercadoLibre.
Just three months after its enterprise launch, Qodo surpassed an annual recurring revenue of $1 million. Users report an average of five bugs per developer per month and benefit from up to 25% savings in development time during testing and review processes.
A Quality Mission that is Capital-Backed
The gradual yet rapid growth of Qodo in an industry typically focused on blitz-scaling has attracted the interest of top investors.
Following a seed round, Qodo raised a $ 40 million Series A in 2024, with Susa Ventures and Square Peg Capital as the major investors. It also has investors such as OpenAI, Snyk, and Firestreak Ventures in its cap table, demonstrating considerable confidence in its code-first, quality-first ideology.
In July 2024, the company rebranded to Qodo, which was intended to communicate its value proposition: trustworthy code by default.
What is the Rationale Behind Code Integrity?
With LLMs producing code, many engineering teams question quality when no human writes the initial draft. Qodo suggests integrating quality checks into all AI-assisted actions, including unit testing, checking for logic and policy violations, mapping test coverage before merging, and ensuring traceability and audit readiness in regulated sectors.
According to co-founder and CEO Itamar Friedman:
It is not only suggestions that developers need, but also confidence. Qodo introduces certainty to the loop, and AI coding becomes reliable and responsible.”
Strategic Partnerships & Artificial Intelligence Leadership
In 2025, Qodo entered a prominent partnership with Google Cloud to incorporate Gemini models into Qodo Merge. Qodo also introduced free PR reviews of open-source contributors as a part of the deal, which expanded its scope and social influence.
One of its most important successes was in the research of AI models. In early 2025, Qodo published QodoEmbed-1-1.5B, a small code embedding model that performed better than its OpenAI and Hugging Face counterparts on the CoIR benchmark, demonstrating Qodo’s internal AI expertise and R&D orientation.
The Competitive Landscape
Although the market is already saturated with platforms such as GitHub Copilot and Amazon CodeWhisperer, which are the leading solutions in the mainstream AI-based code generation industry, Qodo is positioning itself in a different niche: the needs of enterprise-scale engineering teams that require more than a simple autocomplete.
It has no direct peer on the market in the “AI dev quality” space, except perhaps the Anthropic Claude integrations or internal tools at companies such as Google, DeepMind, and Meta. However, none of them provide the same level of out-of-the-box functionality that Qodo offers, including testing, review, and policy enforcement.
Qodo’s Next Steps
Qodo aims to strengthen its presence in Fortune 1000 firms, especially in regulated sectors that prioritize code quality, audit trails, and compliance. By late 2025, product updates include mutation testing, test scenario simulations, front-end QA review agents, and team-wide code customization. It also plans to expand in North America and Europe with new enterprise GTM hires and on-premise deployments.
As AI transforms software development, companies should rethink how they measure, monitor, and control their pipelines. Qodo accelerates development while ensuring it remains sustainable, emphasizing quality over lines of code, a rare approach in the AI tooling market.
For engineering leaders balancing innovation and risk, Qodo could be the key to making AI coding scalable without sacrificing essential values.
