CraftifAI, an innovative startup focused on artificial intelligence and software development, has recently secured $3 million (approximately ₹27.2 Crores) in a seed funding round. This investment was spearheaded by Ankur Capital, with additional contributions from IvyCap Ventures, Capital-A, Antler, and others.
SUMMARY
The funding round was led by Ankur Capital, with participation from IvyCap Ventures, Capital-A, Antler, among others.
The startup plans to use the funds to scale its hiring in engineering and go-to-market teams and expand its footprint across global markets.
CraftifAI is building CraftifAI Orbit – an agentic AI platform designed to automate embedded software development for Edge, IoT, and AI-powered devices.
Founded in 2025 by former PhonePe executive Pratik Sharda and ex-Xilinx senior system design engineer Yashwant Dagar, CraftifAI is on a mission to transform the embedded software industry. The company is developing the CraftifAI Orbit platform, which automates the development of embedded software for Edge, IoT, and AI-driven devices.
Embedded software development refers to creating software that operates on specific hardware, allowing it to manage various functions. CraftifAI Orbit aims to simplify this process by facilitating intelligent system design that encompasses automated code generation and AI/ML deployment, effectively reducing both development time and costs.
This innovative platform integrates various disjointed tools into a unified AI-driven workflow, automating the complete embedded software lifecycle. It assists clients through all phases of product design, development, and manufacturing, enabling them to accelerate their journey from concept to market-ready hardware with increased efficiency and precision.
CraftifAI has already initiated pilot projects with multiple Indian original equipment manufacturers (OEMs) in diverse sectors such as robotics, drones, IoT, and AI cameras, as well as a semiconductor company listed in the United States.
Moreover, the demand for connected smart devices is expected to surge from 16 billion in 2023 to over 41 billion by 2030, alongside increasing device complexity. Unfortunately, there are only around 2.5 million embedded software engineers globally, leading to a significant bottleneck. CraftifAI aims to address this challenge through its automated solutions.
The timing of this funding is crucial, as the adoption of AI technology is rapidly accelerating across various industries. Consequently, investors are keen to support startups like CraftifAI that leverage AI to streamline processes.
As a point of reference, another agentic AI startup, BotGauge AI recently raised $2 million (about ₹18.1 Crores) aimed at expanding its R&D and enhancing its QA agents, while also scaling its presence in the United States and other global markets.
In the backdrop of this funding activity, the five-day India AI Impact Summit 2026 is currently underway in New Delhi. OpenAI founder Sam Altman and Google CEO Sundar Pichai are among expected attendees.
CraftifAI is poised to make substantial contributions to the embedded software landscape, particularly as it seeks to bridge the gap caused by the shortage of skilled engineers. By harnessing the power of AI, the startup aims to redefine how embedded systems are developed, enhancing both speed and quality in a rapidly evolving market.
