Milestone Raises $10M to Quantify AI Impact in Software Development

Tel Aviv-based Milestone has raised $10 million in seed funding to expand its enterprise platform that measures the adoption and impact of AI coding tools, announced in a press release. The funding round was led by Heavybit and Hanaco Ventures, with participation from Atlassian Ventures and angel investors including John Donovan, Tom Preston-Werner, Paul Daugherty, and Amit Agrawal.

Milestone’s platform connects to an organization’s full software development stack — including source control, project management, HR systems, and AI coding assistants — to track AI tool usage and correlate it with metrics such as code quality, delivery speed, and maintainability. The company’s customers include Sapiens, Monday.com, and Kayak.

The platform integrates with AI coding solutions like Cursor, Windsurf, and Claude Code, and partners with GitHub, Augment Code, Qodo, Continue, and Atlassian. GitHub COO Kyle Daigle said the collaboration provides visibility into how AI-driven engineering practices scale across teams.

Milestone’s data from enterprise clients indicates that when AI coding agents have access to richer project context, developer throughput can increase by up to 270% and code accuracy by up to 60%. The founders, Liad Elidan and Stephen Barrett, built the company on years of research into engineering productivity metrics, aiming to provide leaders with clear insights into how AI affects software development performance.