Opkey has secured $47 million in funding to advance its AI-based ERP testing platform
Companies are conducting experiments with services such as ChatGPT to assist employees in creating memos, resolving inquiries, and other tasks.
However, the frequency with which AI is integrated into the more mundane applications that organizations employ is one of the most evident indicators of the extent to which it is gaining traction in enterprise IT.
Today, a startup that embodies that axiom is announcing funding, thereby emphasizing the rapidity of enterprise AI adoption.
Opkey has developed an AI platform to assist organizations in continuously testing finance, HR, and other enterprise resource planning (ERP) software.
The startup has closed a Series B of $47 million, bolstered by solid customer traction, including partnerships with system integrators such as KPMG and PwC and over 200 significant enterprise customers.
UST Global, Verica, Vertical, and India’s YouNest are among the current investors and previous funders who participated in the round, which PeakSpan Capital is leading.
This Series B represents a significant advancement for Dublin, CA-based Opkey: Before this, the organization had only secured $12 million in funding. The valuation of the venture is not being disclosed.
Opkey’s platform may not be situated at the most prominent end of the enterprise IT stack; however, it is addressing a market void essential to enterprises’ operations.
SaaS and cloud architecture have become the foundation upon which new business services are constructed; however, they have also gained significant traction among legacy organizations embarking on digital transformation processes.
They may be more cost-effective and convenient to deploy to a user base. Still, they have many drawbacks, such as the potential for entire networks to be brought down by software vulnerabilities or inconsistencies. This is where Opkey enters the picture.
The company was co-founded by Pankaj Goel, the CEO, and his childhood companions Avinash Tiwari and Lalit Jain. All three are ERP industry veterans who have worked at major companies such as Oracle and Adobe.
Their tenure there provided them with practical experience in software testing and a firsthand understanding of the potential consequences of improper execution.
ERP systems are not typically designed to operate in isolation; instead, they are designed to integrate. Consequently, the entire ERP structure may malfunction if one system is incompatible with another or is not functioning correctly.
Goel stated in an interview that cloud applications continually provide updates, which was not the case with traditional software. “That functionality interferes with the current functionality.”
He predicts that an organization may typically incorporate seven or eight ERP systems. “Any modification to the ecosystem necessitates re-testing.” It implies that enterprises are in a state of testing purgatory.
In reality, testing and data purgatory are classic issues that AI-based automation can resolve, and cybersecurity and DevOps software companies have also recognized this.
The platform for Opkey and ERP continuously monitors integrations, updates, and enhanced cement. What The company refers to as acceptance is” the extent to which end users interact with new features they are expected to use.
Oracle, Workday, Coupa, Veeva, Salesforce, SAP, Microsoft Dynamics, UKG, and Trackwise are among the packages and platforms that Opkey currently supports.
Sanket Merchant, the partner at PeakSpan who spearheaded the investment, thinks that the direction of IT will ensure a robust pipeline of business interest for services such as Opkey’s.
One concern is whether this will fend off competition from other companies in the same industry, such as Katalon and Leapwork. Another question is whether larger ERP companies may consider assuming this responsibility independently.
“The most expensive IT expenditure for businesses is associated with critical enterprise applications, specifically their ERP applications,” he stated, citing statistics that indicate that approximately $73 billion is spent annually on ERP software for billing, accounting, people management, software deployment, and other functions.
This expenditure is spread across both small businesses and large multinational organizations. These can be followed by as many as 52 additional applications that depend on ERP integrations to function.
“Automated testing is crucial for ensuring that the investment functions as intended and to provide assurance.” An unsuccessful SAP deployment or Workday migration can significantly impact a business’s revenue and brand.
