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CodeRabbit Raises $60 Million to Improve AI-Powered Code Reviews

CodeRabbit Raises $60 Million to Improve AI-Powered Code Reviews
source: gettyimages
September 16, 2025

Harjot Gill, founder of FlexNinja and earlier Netsil (sold to Nutanix in 2018), identified a growing challenge in software development: the increasing reliance on AI code generation tools like GitHub Copilot was leading to a surge in buggy code, burdening engineers with extensive corrections.

This insight led Gill to launch CodeRabbit in early 2023, an AI-driven platform designed to assist with code reviews. After acquiring his previous startup, FlexNinja, the company has experienced rapid growth, expanding by 20% monthly and generating over $15 million in annual recurring revenue (ARR).

Investors are optimistic about CodeRabbit’s trajectory. In a recent funding round, the company secured $60 million in Series B financing, boosting its valuation to $550 million. This funding, bringing total investments to $88 million, was led by Scale Venture Partners, with participation from NVentures (Nvidia’s VC arm) and returning backers including CRV.

CodeRabbit’s technology helps companies like Chegg, Groupon, and Mercury, along with over 8,000 individual developers, streamline the notoriously tedious process of code review. By understanding a company’s codebase, it can identify bugs, provide feedback, and reduce the need for human reviewers by half, according to Gill.

Despite competition from startups such as Graphite and Greptile, and giants like Anthropic with its Claude Code, Gill believes that standalone tools like CodeRabbit offer a more comprehensive and technically deep solution. "CodeRabbit is more extensive than bundled solutions," he stated.

While many developers are happy to pay $30 a month for the service, AI code review is not yet infallible. Untrustworthy AI-generated code has even created a new role: the "vibe code cleanup specialist," someone who reviews and corrects AI-produced code to ensure usability.

As the industry continues to evolve, the question remains whether companies will prefer dedicated AI code review platforms like CodeRabbit or integrated solutions offered by major AI providers.

Reported by Marina Temkin, TechCrunch

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