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Battery Ventures

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@BatteryVentures

Investing in technology companies globally since 1983 with offices in Boston, San Francisco, Menlo Park, New York, London and Tel Aviv.
battery.com Joined July 2010
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Battery Ventures Verified account @BatteryVentures
AI coding agents are making it easier to write and ship code. But more code also means more complexity, more opportunities for software incidents and more engineering time spent figuring out what went wrong.

We believe the next wave of observability will go beyond collecting and storing data to actually doing the work, with AI agents investigating and resolving software incidents. That's why we're excited to back @traversal_ai's $120M Series B.

Built by a founding team with deep expertise in causal AI, Traversal is bringing years of research in how machines understand cause and effect to one of software engineering's toughest challenges: figuring out why systems fail.

Their AI agents can test thousands of possible causes to identify the root cause of an issue in minutes, helping engineers get systems back up and running faster, so they can focus on shipping code that moves their product forward.

Congratulations to @_anish_agarwal, @raazdwivedi, Raj, Ahmed and the entire Traversal team. We're excited to partner with you as you build the future of production engineering.
Anish Agarwal Verified account @_anish_agarwal 6d
We just raised $120M, with a $1B valuation, to build software that keeps itself running.

AI is writing more code than ever. It’s also making production less reliable: more code, shipped faster, understood by few.

@traversal_ai understands how production systems fit together, finds the root cause of incidents, and helps prevent the next one.

Engineers at Nubank, Harvey, PepsiCo, DigitalOcean, and a growing list of Fortune 100 companies use Traversal every day.

Here’s production without the drama 👇
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Battery Ventures Verified account @BatteryVentures
Congratulations to @amrit_hx and the hyperexponential team on entering into a definitive agreement to join forces with @Guidewire_PandC.

This milestone carries special meaning for Battery GP Marcus Ryu, who co-founded Guidewire 25 years ago and led it as CEO for much of that time. After joining Battery, he led hyperexponential’s Series B, marking his second investment at the firm.

Reflecting on today’s announcement on LinkedIn, Marcus wrote: "Remarkably, the companies are almost perfect complements to each other in their service to the industry — in product, market segment, and even in the personas within insurers who champion the respective platforms. The synergy case virtually wrote itself, though of course there remains much to prove to both customers and investors about the value of the union."

Together, hyperexponential’s AI-powered pricing and underwriting technology and Guidewire’s core platforms will help insurers assess risk, price business and respond to more submissions faster, with AI agents working alongside underwriters and actuaries.

Congratulations to both teams on an exciting next chapter.

Read more from Marcus: linkedin.com/feed/update/ur…
www.linkedin.com Guidewire Signs Definitive Agreement to Acquire hyperexponential | Marcus Ryu | 32 comments This morning Guidewire Software, the company I co-founded 25 years ago and led as CEO for most of that duration, announced at its user conference the acquisition of Hyperexponential, the company...
Guidewire Software @Guidewire_PandC Oct 27
Excited to announce that Guidewire has entered into a definitive agreement to acquire hyperexponential, a London-based agentic platform for commercial P&C insurance underwriting and a Guidewire PartnerConnect Technology Alliance Partner.

Learn more: bit.ly/3W5z2wJ
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Battery Ventures Verified account @BatteryVentures
For decades, CFOs have favored established ERP providers for their proven track records and reliability. AI is rapidly turning those longstanding advantages into liabilities.

Our latest survey of 50 finance professionals found that AI adoption is not only accelerating, but is fundamentally reshaping what buyers prioritize in their financial software:

- AI adoption has surged. 88% of respondents now report having AI deployed in their organizations, up from just 17% six months earlier.

- Complex finance workflows remain largely untapped. AI adoption is strongest in forecasting and management reporting, but CFOs believe audit-intensive tasks like revenue recognition and tax compliance require AI embedded directly into their ERP systems.

- Legacy ERP customers are increasingly open to switching. 48% say they are likely to replace their ERP within three years, compared with just 12% of AI-native customers. That's a four-to-one difference in a historically sticky software category.

- ERP buying priorities are shifting. Native AI capabilities, agentic automation and auditability now rank among buyers' top priorities. Vendor stability and track record, historically major advantages for incumbents, rank last.

As AI capabilities become central to ERP buying decisions, the career risk for CFOs has flipped from conservatism to modernism.

@aneilvc @michaelmbrown