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- Arize AI
Arize AI Acquisition, Valuation, Funding & Investors
Arize AI was acquired by Dynatrace for $915M in August 2026.
Cumulative funding Arize AI raised
$131M
across 4 funding rounds
Key investors in Arize AI
Foundation Capital
Swift Ventures
Battery Ventures
Trinity Ventures
TCV
M12
Industry Ventures
OMERS Ventures
About Arize AI
Arize AI is a Berkeley-headquartered platform for engineering reliable AI systems, supporting design, evaluation, and monitoring across models and clouds. It features Arize AX for workflows, Phoenix as open-source tracing, and OpenInference for inference standardization.
Founded
2020
HQ
Website
Status
Acquired
Customer focus
B2B
Revenue model
Subscription
Valuation
$915M (acquired Aug 2026)
Arize AI Acquisition
Arize AI was acquired by Dynatrace for $915M on 13 August 2026.
Before the acquisition Arize AI had raised $131M across 4 funding rounds.
Dynatrace signed a definitive agreement in August 2026 to acquire Arize AI for $915 million in a cash-and-stock transaction, consisting of approximately $815 million in cash plus replacement equity awards for Arize employees joining Dynatrace. Dynatrace said the deal was designed to expand its AI observability capabilities and deepen its reach into the AI developer community, with expected accretion to ARR growth and a modest dilution to Non-GAAP operating margin in fiscal 2027. Arize AI is an AI observability and AI development lifecycle platform focused on helping teams evaluate and monitor AI models. Dynatrace positioned the acquisition as part of its broader strategy to connect AI evaluation with production observability and telemetry across the software lifecycle.
| Acquirer | Date | Type | Price |
|---|---|---|---|
| 13 Aug 2026 | Strategic M&A | $915M |
Arize AI Funding History
Arize AI has raised a total of $131M across 4 funding rounds.
Arize AI's first fundraising round was a $4M seed round in February 2020. The most recent completed round was a $70M Series C in February 2025.
Arize AI funding rounds
| Date | Stage | Investors | Raised | Deal Summary |
|---|---|---|---|---|
| Feb 2025 | Series C | Adams Street Partners (lead); Industry Ventures; SineWave Ventures; PagerDuty; Swift Ventures; Battery Ventures; TCV; Datadog; M12; Archerman Capital; OMERS Ventures; Foundation Capital | $70M | Arize AI, a Berkeley, CA-based company founded in 2020 by Jason Lopatecki and Aparna Dhinakaran, provides a unified AI observability and LLM evaluation platform that enables teams to monitor, troubleshoot, detect issues, and improve performance for traditional ML and generative AI use cases. The platform serves enterprises including Booking.com, Condé Nast, Duolingo, Hyatt, PepsiCo, Priceline, TripAdvisor, Uber, and Wayfair, as well as government agencies. Arize Phoenix, its open-source offering, has over two million monthly downloads and is the most widely adopted AI observability library. On February 20, 2025, Arize AI raised $70 million in its Series C funding round, the largest investment in AI observability to date, led by Adams Street Partners with participation from M12 (Microsoft's venture fund), SineWave Ventures, OMERS Ventures, Datadog, PagerDuty, Industry Ventures, and Archerman Capital. Existing investors Foundation Capital, Battery Ventures, TCV, and Swift Ventures also participated, reaffirming their commitment. The funding will accelerate development of advanced features for AI evaluation and debugging, scale AI evaluation and monitoring for LLMs and AI agents, expand Arize Phoenix OSS, advance research through OpenEvals and AgentEvals, and support hiring. It enhances partnerships like deeper integrations with Microsoft Azure AI Studio and Foundry. |
| Sep 2022 | Series B | TCV (lead); Swift Ventures; Battery Ventures; Foundation Capital | $38M | Arize AI is a Berkeley-based startup founded in 2019 by Jason Lopatecki and Aparna Dhinakaran, providing an AI observability platform to monitor, evaluate, and improve machine learning models and large language models for enterprises. The platform helps detect issues, reduce uncertainty, and optimize AI performance in real-world applications across industries like retail and healthcare. On September 7-8, 2022, Arize AI raised $38 million in a Series B round led by TCV, with participation from Battery Ventures, Foundation Capital, and Swift Ventures, bringing total funding to $62 million. The funds were intended to scale operations, enhance platform capabilities, expand the MLOps platform for enterprise customers, double the 50-person headcount, and accelerate R&D. This was described as the industry's largest investment in a machine learning observability platform at the time. Arize differentiates through domain expertise from its founders' backgrounds at TubeMogul (acquired by Adobe for $550 million) and Uber, focusing on practitioner needs rather than building observability tools in-house. Competitors in the MLOps space include Tecton, Galileo, Modular, Gantry, and Grid.ai. The company has since raised a $70 million Series C in February 2025 led by Adams Street Partners, reaching total funding of $131 million, to further advance AI evaluation and observability for LLMs and AI agents. |
| Sep 2021 | Series A | Battery Ventures (lead); Swift Ventures; The House Fund; Foundation Capital; Trinity Ventures | $19M | Arize AI, a Berkeley-based leader in ML observability and model monitoring, raised $19 million in a Series A financing round on September 28, 2021, led by Battery Ventures with participation from Foundation Capital, Trinity Ventures, The House Fund, and Swift Ventures. The funding aimed to expand the team, accelerate product development, and build the industry's first full-stack ML observability platform designed for ML engineers, data scientists, and practitioners deploying and maintaining production models. The founding team includes veterans from Uber, Google, Apple, Slack, Adobe, and PagerDuty. Since its seed round in October 2020 (noted as February 2020 in some sources), Arize AI gained early traction with enterprise customers like Adobe and Twilio, ensuring production models perform as designed, alongside organizations in financial services, fintech, healthcare, insurtech, ad tech, and retail for applications like fraud detection, pricing, demand forecasting, and service optimization. The platform addresses barriers to continuous ML model delivery with high ROI, providing insights into model behavior post-deployment amid growing AI complexity. Battery Ventures' Dharmesh Thakker joined the board, aligning with Arize's mission given their investments in MLOps leaders like Databricks, Dataiku, AppDynamics, Sumo Logic, and Datadog. The round supports scaling ML observability as critical to MLOps, tackling complexities from data, systems, features, and code impacting model performance. Later rounds include Series B ($38M in 2022 led by TCV) and Series C ($70M in February 2025 led by Adams Street Partners). |
| Feb 2020 | Seed | Swift Ventures; Brett Wilson; Foundation Capital; Trinity Ventures | $4M | Arize AI launched in February 2020 with a $4 million seed funding round led by Foundation Capital, with participation from Brett Wilson and Trinity Ventures. The company provides a real-time analytics platform for AI observability, enabling teams to monitor, troubleshoot, and improve machine learning models in production. Arize AI also acquired Y Combinator-backed Monitor ML, with its team joining as co-founders. CEO Jason Lopatecki, former chief strategy officer at TubeMogul (acquired by Adobe), leads the company, while co-founder and chief product officer Aparna Dhinakaran previously built ML infrastructure at Uber. The platform delivers insights to distinguish issues between data and models, optimizing data scientist efficiency. Swift Ventures appears in later rounds, confirming investor alignment. |
Who has invested in Arize AI?
15 investors have backed Arize AI across its funding rounds, including Foundation Capital, Swift Ventures, Battery Ventures, Trinity Ventures, TCV and M12.
Lead investors include Adams Street Partners, TCV and Battery Ventures.
Arize AI Investors
| Investor | HQ | Rounds | Role | First check |
|---|---|---|---|---|
| 4 | Participant | Feb 2020 | ||
| 4 | Participant | Feb 2020 | ||
| 3 | Lead | Sep 2021 | ||
| 2 | Lead | Sep 2022 | ||
| 2 | Participant | Feb 2020 | ||
| 1 | Lead | Feb 2025 | ||
| 1 | Participant | Feb 2025 | ||
| 1 | Participant | Feb 2025 | ||
| 1 | Participant | Feb 2025 | ||
| 1 | Participant | Sep 2021 | ||
| 1 | Participant | Feb 2025 | ||
| 1 | Participant | Feb 2020 | ||
| 1 | Participant | Feb 2025 | ||
This data is available for Pro users. Sign up to see all 15 Arize AI investors. Start Free Trial | ||||
Benchmark 350K+ Funding Rounds and Disclosed VC Valuation Multiples
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Start Free TrialAcquisitions by Arize AI
Arize AI has acquired 2 companies to date.
Last acquisition by Arize AI was on March 13th 2025. Arize AI acquired Velvet for undisclosed valuation.
Latest Acquisitions by Arize AI
| Description | - | Monitor ML is a production monitoring service for machine learning models deployed in cloud and on-premise environments. It tracks model performance, drift, predictions, and feature distributions with customizable dashboards. The platform integrates with TensorFlow, PyTorch, and MLflow, alerting teams to degradation via Slack and email. Monitor ML supports data scientists at fintech and e-commerce firms scaling AI operations. |
| HQ Country | ||
| HQ City | - | San Francisco, CA |
| Deal Date | 13 Mar 2025 | 28 Sep 2021 |
| Valuation | undisclosed | undisclosed |
| EV/Revenue | ||
| EV/EBITDA | ||
This data is available for Pro users. Sign up to see all Arize AI acquisitions and their M&A valuation multiples. Start Free Trial | ||
Arize AI Competitors
Arize AI competitors include listed companies like Beijing CTJ Info Tech, Rezolve AI, Rackspace and Appier Group, and private ones like Mirendil and StepStar.
| Company | HQ | Status | Revenue | EBITDA | Valuation | Revenue Multiple |
|---|---|---|---|---|---|---|
| Publicly listed | $123M | $13M | $904M | 4.9x | ||
| Publicly listed | $47M | ($109M) | $950M | 4.0x | ||
| Publicly listed | $2.7B | $244M | $997M | 1.6x | ||
| -- | Private | - | - | $1B | - | |
| Private | - | - | $1B | - | ||
| Publicly listed | $281M | $44M | $1B | 2.9x |
Arize AI Public Comps
Arize AI is no longer listed, but its public comps include Beijing CTJ Info Tech, ODDITY Tech, Rezolve AI, Rackspace, Appier Group, Extreme Vision, iFLYHealth, Beijing Haitian Ruisheng, Beijing Deep Glint Tech and Optasia.
| Last FY | EV/Revenue | EV/EBITDA | ||||||
|---|---|---|---|---|---|---|---|---|
| Revenue | EBITDA | Last FY | LTM | 2027E | Last FY | LTM | 2027E | |
| $123M | $13M | 5.3x | 4.9x | 51.3x | 34.6x | |||
| $810M | $131M | 1.5x | 1.8x | 9.6x | 18.3x | |||
| $47M | ($109M) | 23.3x | 4.0x | (10.0x) | (19.3x) | |||
| $2.7B | $244M | 1.5x | 1.6x | 17.1x | 15.0x | |||
| $281M | $44M | 3.4x | 2.9x | 21.6x | 15.7x | |||
| $44M | ($6M) | 22.8x | 11.6x | (163.7x) | - | |||
| $136M | ($7M) | 7.7x | 6.2x | (150.8x) | (144172.5x) | |||
| $56M | $5M | 13.8x | 14.0x | 160.9x | - | |||
This data is available for Pro users. Sign up to see all Arize AI competitors and their valuation data. Start Free Trial | ||||||||
Common questions about Arize AI
| When was Arize AI founded? | Arize AI was founded in 2020. |
| Where is Arize AI headquartered? | Arize AI is headquartered in San Francisco, CA, United States. |
| Is Arize AI publicly listed? | No, Arize AI was acquired by Dynatrace in August 2026. |
| Who acquired Arize AI? | Arize AI was acquired by Dynatrace in August 2026. |
| How much was Arize AI acquired for? | Arize AI was acquired for $915M in August 2026. |
| How much funding has Arize AI raised? | Arize AI has raised $131M across 4 funding rounds. |
| What was Arize AI's last funding round? | Arize AI's last funding round was a $70M Series C in February 2025, led by Adams Street Partners. |
| Who are Arize AI's investors? | Arize AI's investors include Swift Ventures, Foundation Capital, Battery Ventures, TCV, Trinity Ventures, Adams Street Partners, Industry Ventures, SineWave Ventures, PagerDuty, The House Fund and 5 others. |
| Which companies are comparable to Arize AI? | Companies comparable to Arize AI include Beijing CTJ Info Tech, Rezolve AI, Rackspace, Mirendil, StepStar and Appier Group. |
| How many companies has Arize AI acquired? | Arize AI has acquired 2 companies, including Velvet and Monitor ML. |
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