Supabase Eyes $5B Valuation, Baidu Unveils ERNIE X1.1, and Lanais AI Observability Breakthrough - AI Programming Weekly #20

September 16, 2025 - AI Programming Weekly
Hi there,

Welcome to this week's edition of AI Programming Weekly.

This week, we're diving into some exciting developments in AI-based coding and software development tools. Supabase is making headlines as it seeks a valuation of over $5 billion, aiming to become the go-to backend for AI-driven app development. Meanwhile, Baidu has unveiled its ERNIE X1.1 model at the WAVE SUMMIT 2025, showcasing enhancements in reasoning capabilities and updates to its AI tools.

In other news, Augment Code has launched a feature that allows for parallel tool calls, promising faster and more efficient operations. Lanai has introduced an edge-based AI Observability Agent to improve visibility into AI interactions, addressing the challenge that 89% of enterprise AI usage remains unseen by IT teams. Additionally, Fastly has released a report highlighting the challenges developers face with AI-generated code, emphasizing the need for human oversight to correct errors.
Supabase Seeks $5B Valuation in New Funding Round
Supabase, an open-source startup, is in talks for new funding that could value the company at over $5 billion. The company aims to become the default backend for AI applications, leveraging the trend of 'vibe coding.' Read more
Baidu Unveils ERNIE X1.1 and AI Innovations at WAVE SUMMIT 2025
At the WAVE SUMMIT 2025, Baidu launched the ERNIE X1.1 reasoning model with notable enhancements and announced updates to its AI tools and frameworks. Read more
Augment Code Launches Parallel Tool Calls Feature
Augment Code has launched the Parallel Tool Calls feature, enabling agents to execute multiple tools at once, enhancing speed and reducing latency for complex tasks. Read more
Lanai Launches AI Observability Agent for Enterprises
On September 10, 2025, Lanai introduced its edge-based AI Observability Agent, highlighting that 89% of enterprise AI usage is not visible to IT teams. This tool aims to enhance visibility into AI interactions while ensuring data privacy. Read more
Fastly Report on AI-Generated Code Challenges
A report by Fastly reveals that 95% of developers spend additional time correcting AI-generated code, with senior developers primarily handling these errors. Read more
Replit Inc. Secures $250 Million Funding, Valued at $3 Billion
Replit Inc. has raised $250 million in a funding round, boosting its valuation to $3 billion. The funds will support hiring and the development of Replit's new AI tool, Agent 3. Read more
Qodo Introduces Qodo Aware for Coding
On September 10, 2025, Qodo announced the launch of Qodo Aware, a deep research agent for coding that achieved 80% accuracy on a new benchmark, surpassing competitors like OpenAI's Codex, Anthropic's Claude Code, and Google's Gemini CLI. Read more
Lanai Inc. Launches AI Observability Agent
AI monitoring startup Lanai Inc. has introduced its AI Observability Agent to address the risks of unauthorized AI usage in enterprises by running detection models on corporate devices. Read more
LambdaTest Introduces KaneAI for AI-Driven Testing
LambdaTest has launched KaneAI, an AI-driven testing solution that aims to make automated testing accessible globally without a subscription fee. The platform supports web and mobile app testing and integrates with tools like Jira. Read more
Opper AI Acquires FinetuneDB for Model Tuning
UK-based startup Opper AI has acquired FinetuneDB, a platform focused on dataset curation and fine-tuning for large language models, emphasizing the importance of these processes in AI deployment. Read more
Voicing AI Achieves 97% Accuracy in Function Calling
Voicing AI has announced a 97% accuracy rate in real-world function calling, surpassing the industry average and improving enterprise service metrics. Read more
LocusX Secures $3 Million for AI Debugging Software
Montréal-based startup LocusX has raised $3 million in seed funding to develop AI-powered debugging software for game developers, enhancing efficiency and quality in game production. Read more
Altan Secures $2.5 Million for Autonomous Software Platform
Barcelona-based startup Altan has raised $2.5 million in pre-seed funding to develop a platform for AI agents to autonomously create and manage software. Read more
Progress Software Introduces New AI Platform
Progress Software has launched Progress® Agentic RAG, a new SaaS platform aimed at providing generative AI solutions for organizations. The platform focuses on enhancing data management and retrieval with features like a no-code pipeline and intelligent search. Read more
ModelCat Launches eIQ Model Creator for NXP Devices
On September 9, 2025, ModelCat introduced the eIQ Model Creator, a tool aimed at speeding up the development of AI models for NXP devices, reducing the process from months to days. Read more

We hope you enjoyed this article.

Consider subscribing to one of our newsletters like AI Programming Weekly or Daily AI Brief.

Subscribe to AI Programming Weekly

Weekly news about AI tools for software engineers, AI enabled IDE's and much more.