MagicPod Secures $5 Million to Revolutionize Software Testing Automation with AI Agents

MagicPod: Pioneering AI-Driven Software Testing Automation

MagicPod, a leading provider of no-code end-to-end (E2E) testing automation tools, has successfully secured 500 million yen ($5 million) in Series B funding. This investment is co-led by HIRAC FUND and One Capital. The company aims to leverage the latest developments in AI agent technology to significantly enhance its testing solutions, marking a transformative shift in software development and testing.

The Rise of AI Agents in Software Development

The landscape of artificial intelligence witnessed a substantial change with the public launch of ChatGPT in 2022, heralding the emergence of AI agents—capable of executing various tasks traditionally performed by humans, including programming and browser operations. Notable AI agents such as Claude, Cline, Cursor, and Devin have recently emerged, demonstrating the ability to substantially increase developers' productivity by up to eightfold in some cases. The advent of these technologies has generated considerable excitement among innovative engineers, suggesting that the methodologies for software development and testing are poised for radical change.

Funding and Strategic Goals

In light of this growing trend towards automation within the realm of agile and in-house software development, MagicPod is rapidly focusing on integrating AI agents with its existing no-code solutions. The company currently boasts over 500 corporate clients but acknowledges that automated testing still accounts for only a fraction of the global software testing market, estimated at 170 trillion yen. A key challenge obstructing wider adoption of automation remains the complexity involved in creating and maintaining automated test scripts compared to manual testing.

To address these challenges, MagicPod is integrating both internal AI agents and collaborating with external AI agents, paving the way for true automation in testing. A significant milestone in this process is the upcoming release of the beta version of the