Key Takeaways
- Y Combinator raised $60.0M (Series B) from Y Combinator.
- Sector: Artificial Intelligence (AI).
- Geography: United States.
Analysis
San Francisco-based startup, Motion, has secured a total of $60M across its Series B, Series C, and Series C2 funding rounds, escalating its total funding to $75M and its most recent valuation to $550M. The primary source of this funding was a $38M Series C round, which was over five times oversubscribed. This round was led by Scale Venture Partners, with Series B and C2 funding rounds pre-empted by insiders HOF Capital, 468 Capital, and SignalFire. Y Combinator, a consistent supporter of Motion, has continued to invest in each round. New investors include Valor Equity Partners, Fellows Fund, Leonis Capital, and over a dozen unicorn founders. As part of the Series C round, Stacey Bishop of Scale Venture Partners, who brings extensive experience in SMB and mid-market, has been welcomed to Motion’s board.
Motion's B2B revenue has seen an impressive growth of 3x YoY into 8-figures of ARR with over 10,000 SMB customers relying on Motion’s agentic work platform to run their businesses. This growth spurt is powered by the AI Employees product—agents that independently carry out work within Motion's existing work management platform. Since its launch three months ago, this new offering has skyrocketed from $0 to 8-figure ARR. Customers at various levels of their organization recommend Motion's work suite because it allows them to focus on strategic and revenue-generating work.
CEO and co-founder of Motion, Harry Qi, highlighted the company's mission to help SMBs, who account for half of America's GDP, to stay competitive in an AI-driven world. Qi stated that Motion is building the first comprehensive agentic work suite, with agents embedded natively. Over the past three years, they have built a significant part of the suite around agentic work management, with many new applications set to be released in the coming months. The new funding will be utilized to expand the team, primarily in engineering and product, to further develop the agentic work suite with new applications and agents.
Founded in 2019 by Harry Qi, Omid Rooholfada, and Ethan Yu, Motion is the first agentic work suite that combines intelligent project and work management with AI agents that execute workflows autonomously. The company is headquartered in San Francisco and serves over 100,000 customers worldwide.