Magic AI, a startup focused on developing AI models to automate coding and software development tasks, has raised $320 million in a new funding round. The investment was led by former Google CEO Eric Schmidt, along with contributions from Alphabet’s CapitalG, Atlassian, Sequoia, and others. This brings Magic’s total funding to $465 million, placing it among the top-funded AI coding startups.
In addition to the funding, Magic announced a partnership with Google Cloud to build two supercomputers equipped with Nvidia’s latest GPUs. These supercomputers, Magic-G4 and Magic-G5, are designed to enhance the efficiency of AI model training and inference, enabling Magic to scale its operations and improve the performance of its AI tools.
Advertisement
Pioneering Long-Term Memory Networks
Founded in 2022 by Eric Steinberger and Sebastian De Ro, Magic is developing AI tools that function as automated pair programmers, capable of writing, reviewing, and debugging code. A key innovation of Magic’s models is their ultra-long context windows, branded as Long-term Memory Networks (LTM), which allow them to handle vast amounts of data without losing context. The latest model, LTM-2-mini, boasts a 100 million-token context window, significantly larger than any other commercial model.
Aiming for the Future of AGI
Magic’s ambitions extend beyond automating routine software tasks. The company is working toward creating AI that can solve problems more reliably than humans, a step toward achieving artificial general intelligence (AGI). With a growing team and plans to expand its capabilities, Magic AI is positioning itself as a leader in the evolving AI landscape.
