• Coralogix raises $115 million in Series D funding, pushing its valuation to more than $1 billion.
  • The observability platform plans expansion in India with a new AWS-based data centre.
  • The company sees growing demand for real-time compliance-ready infrastructure in the region.

The Israel–based observability platform, Coralogix, has officially joined the unicorn club after raising $115 million at a pre-money valuation, almost doubling in three years from its last round in 2022.

The round brings the startup’s total valuation to over $1 billion and signals a new phase of growth in the Asia-Pacific region, particularly its engineering base to be set up in India.

As artificial intelligence-driven enterprise offerings continue to pique investor delight, Coralogix helps companies monitor and analyze their logs, metrics, and traces without indexing them.

By providing real-time insights at a significantly lower cost than traditional platforms, the venture firm has become increasingly significant as more companies leverage data to capitalize on the benefits of AI.

Coralogix aims to investigate issues and make important decisions based on the company's data stream through its observability agent, Olly.

The agent employs a semantic layer that combines internal data, including metadata, with external sources from the internet to help companies address complex issues.

This could include identifying slow service causes or resolving common system errors, using simple text prompts.

"Successful companies in our space always invest a large portion of their revenue in R&D and were very late to become profitable," Co-founder and CEO Ariel Assaraf told Reuters, noting a similar pathway across peers Datadog and Splunk.
"If there's a strategic acquisition of a company with a specific, very talented pool of people around AI, we will make those acquisitions, even if they're not small," he added.

Designed to address more than just specific problems, the AI agent can assist customers in understanding which features are causing the most frustration, how much their customers are paying, or who their account representative is for support, according to Assaraf.

“There’s an opportunity for us, given our architecture of analyzing stream query from remote, lower costs. We’re going to invest a lot there and build out the AI research center bigger,” Assaraf said.

Coralogix counts Indian fintech companies like Jupiter Money, BharatPe, and Razorpay, and other companies like Postman, Meesho, BookMyShow and CoinDCX, are among its clients.

The company also caters to banks and enterprises and aims to engage the Indian government as its next major client.

Additionally, the company is considering acquiring Indian startups to broaden its presence in the country.

“We have spoken to quite a few Indian companies about the potential M&A, but nothing has really been fulfilled.
It could be a very good and easy way for us to get a strong core team as we think about expanding our engineering,” Assaraf added.

The startup, which views Datadog as its key competitor, aims to file for a U.S. IPO on Nasdaq in three years.

Edited by Annette George