Magic AI has raised $1.0M in total across 1 funding round.
Magic AI's investors include MetaVC Partners.
Magic AI is a San Francisco-based AI startup founded in 2022 that builds frontier code models to automate software engineering and research, aiming to create safe AGI for solving global challenges.[1][3][4][6] Its core product offers AI-powered code completion and generation tools that enable developers to generate and edit code across entire repositories, boosting productivity for software teams.[1][3] Serving developers and organizations, Magic solves the problem of inefficient coding by leveraging advanced AI models with ultra-long context and reinforcement learning, while its recent $321M Series C funding—led by Eric Schmidt—fuels expansion, new tools, and supercomputer infrastructure on Google Cloud.[1][6]
With 40+ employees across San Francisco (HQ), New York, and Seattle offices, Magic has raised over $515M total, including a $80M Series B and $45M Series A, demonstrating explosive growth momentum in the AI developer tools space.[1][3][4][6]
Magic AI was founded in 2022 by Sebastian De Ro and Eric Steinberger, who launched the company with a $20K seed round from Techstars to kickstart early development and key hires.[1] De Ro and Steinberger, experienced in AI and software, identified the need for AI to automate coding at scale, emerging from the rapid evolution of large language models toward practical developer tools.[1][3] Early traction came quickly: a $45M Series A led by CapitalG and Amplify Partners accelerated product builds, followed by $80M Series B for R&D and adoption, culminating in the massive 2024 Series C that solidified its leadership.[1][6] Pivotal moments include shifting focus to "frontier code models" and safe AGI via code automation, with the team growing to 7 employees by late 2023 amid surging demand.[1][4]
Magic stands out in the crowded AI coding space through these key strengths:
Magic rides the agentic AI wave, where models evolve from chatbots to autonomous engineers automating 80%+ of coding, amid exploding demand for developer tools post-ChatGPT.[1][3][6] Timing is ideal: 2025's compute abundance (e.g., H100 clusters) and falling inference costs favor Magic's resource-intensive approach, while market forces like talent shortages and $1T+ software spend amplify its impact.[1][6] It influences the ecosystem by pioneering "code as the path to AGI," inspiring competitors and accelerating open-source AI research, while partnerships (e.g., Google Cloud) position it to reshape how enterprises build software.[1][3]
Magic is poised to dominate AI-driven software automation, with next steps including new coding agents, expanded supercomputing, and global scaling via Series C funds.[1][6] Trends like multimodal models and enterprise adoption will propel it, potentially evolving into a full AGI lab that redefines human-AI collaboration. As a lean powerhouse backed by visionaries, Magic could automate vast R&D swaths, amplifying its opening promise: accelerating humanity's progress through safe, code-powered intelligence.[6]
Magic AI has raised $1.0M across 1 funding round. Most recently, it raised $1.0M Seed in April 2018.
| Date | Round | Lead Investors | Other Investors |
|---|---|---|---|
| Apr 1, 2018 | $1.0M Seed | MetaVC Partners |
