Undo raises €31 million for AI software diagnostics

The startup plans to use the new funding to speed up product development and expand into international markets as demand for reliable software engineering tools continues to grow.

“We are ahead of the curve. Undo has spent years building deterministic, program recording technology for code failure runtime visibility, which has become absolutely essential with the rise of AI,” says Undo Founder and CEO Greg Law.

“This investment allows us to accelerate at exactly the right moment – embedding Undo into AI workflows, scaling our commercial reach, and ensuring we are an essential part of how engineering teams operate in this new, AI-first world. We look forward to working alongside the Elsewhere team to ease the next era of software engineering problems for companies around the world.”

“AI is making code unmanageable – introducing code that engineers cannot understand, trust, or debug. So while AI helps them generate more code, some of it is poorly understood, poorly structured, and of questionable quality. Systems become full of unknowns, making them unstable and increasing the risk of outages, security breaches, and customer escalations,” notes Elsewhere Operating Partner Rod Favaron.

“Quality is extremely important at Palo Alto Networks, and we cannot afford to rely on guesswork. The hardest – and costliest – bugs in multi-million-line codebases live in runtime state and are not captured by logs or other solutions,” says Suresh Sangiah, Senior VP Engineering at Palo Alto Networks. “Undo provides the visibility needed to catch and correct errors before they become an operational problem for our customers, enabling automatic root cause analysis. Undo often autonomously finds the root causes in minutes.”

Undo was founded in 2012 and develops technology that helps AI coding agents solve complex problems in large software codebases. Its tools enable fully automated root cause analysis across development, testing, and production environments.

The company says AI agents often lack the runtime context needed to accurately diagnose software issues. Undo addresses this by recording a program's complete execution history—showing how the software actually behaved while running.

These recordings allow AI agents to identify the real cause of problems more accurately and help ensure that AI-generated code remains understandable, maintainable, and easier to debug.

According to Undo, the effectiveness of AI depends not only on the model itself but also on the quality of the context it receives. Runtime context provides information about what a program actually did, rather than just what the source code says, allowing AI models to perform much better when analyzing software systems.

The company plans to significantly expand its product development, customer support, and sales teams across the United States and Europe. The goal is to support the growing adoption of its software engineering solutions and meet the evolving needs of software developers and enterprises.

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