AI is revolutionizing coding, which developers are now embracing.
In a recent survey by StackOverflow, 44% of software engineers reported using AI tools as part of their development processes, with 26% planning to do so soon. Gartner estimates that over half of organizations are currently experimenting or have already implemented AI-driven coding assistants, and predicts that 75% of developers will be utilizing coding assistants in some capacity by 2028.
Former Microsoft software developer Igor Ostrovsky is confident that AI will become a standard tool in every developer’s workflow. He believes that AI has the potential to enhance software quality, increase team productivity, and bring back the joy of programming.
Ostrovsky set out to create an AI-powered coding platform that would meet his own high standards, resulting in the birth of Augment. Recently, Augment emerged from stealth mode with an impressive $252 million in funding at a valuation just shy of a billion dollars ($977 million), backed by investors like Eric Schmidt, former Google CEO.
Aiming to disrupt the emerging market for generative AI coding technologies, Augment seeks to empower developers and organizations to deliver high-quality software efficiently. Ostrovsky’s experience at Microsoft and Pure Storage has helped him assemble a stellar team to drive Augment’s success.
While Augment remains mostly secretive about its operations, Ostrovsky hints at using fine-tuned industry-leading open models for their AI features. The platform plans to generate revenue through standard software-as-a-service subscriptions, details of which will be disclosed closer to Augment’s general availability release.
With a strong financial runway, Augment is focused on expanding its team and accelerating product development to capitalize on the growing momentum in the enterprise AI space. In a competitive landscape filled with tech giants and various coding assistant startups, Augment’s path to success depends on sustaining its user base and effectively addressing technical challenges.
Concerns around vulnerabilities, mistaken code, and intellectual property rights have plagued the AI coding assistant industry, prompting scrutiny and legal action. Ostrovsky acknowledges these challenges but affirms Augment’s commitment to improving software quality, team productivity, and intellectual property protection through innovative AI coding assistance solutions.
Based in Palo Alto, Augment currently has around 50 employees, with plans to double the workforce by the end of the year.
