Companies are overflowing with data and humans just can't keep up with it, but a Bay Area startup that helps businesses manage that data is launching AI agents to pitch in.
Observe is calling the new capability Project Voyager, a nod to the spacecraft that launched in 1977 to explore the depths of the solar system and beyond.
The new AI agents from Observe will automatically log code and assist software engineers with troubleshooting.
The goal is to have a unique agent for individual engineers and build up a platform where everyone's agents are accessible within a team, essentially creating a hive mind that's constantly growing and updating.
But don't worry about a hypothetical doomsday where machines become smarter than the humans that built them, a.k.a., the arrival of an advanced general intelligence or AGI, Observe CEO Jeremy Burton told me.
"I'm quite bullish that this is going to be a big productivity improvement, but it's not the human-replacing general intelligence that I think is really what the Star Trek computer probably was," Burton said.
It's safe to say you can ignore the hype around AGI for now, but there's another emerging trend worth watching, Burton said: open data.
"One of the big initiatives we have is making this machine-generated data more open and easier for people to collaborate with," Burton said, much along the same lines as the open-source software movement. "I think we're getting to a point where people are demanding open data."
Companies building AI-powered capabilities also need to show customers that their money is well spent.
"We want to try and directly correlate a problem with your software to the impact on the business," Burton said. "What did that cost us? I think that's really what people want. Yes, we had a problem but did anyone notice? Did it impact the business? If not, I don't care about it."
Observe isn't profitable yet, but Burton said the company's annual recurring revenue is up 200% year-over-year and its net revenue retention is at 190%.
Investors seem to be pleased with those numbers, too, and recently poured an additional $20 million into Observe, extending the San Mateo startup's total Series B round to $145 million.
The company's valuation has also remained steady at $325 million, Burton said.
Observe began raising its Series B round late last year, and it was more challenging than Burton had anticipated.
“It took longer than I expected,” Burton told me earlier this year. “No matter how long you think it’s going to take, I guess the lesson is, it’s going to take a little bit longer.”
It's still difficult to raise in this economic environment especially for startups that aren't typically considered AI companies, Burton said, but Observe's investors see strength in the company's performance.
Existing investor Madrona Ventures led the Series B extension and new investor Evolution Equity Partners also participated. Its other investors also include Sutter Hill Ventures, Capital One Ventures and Snowflake Ventures.
