In a significant development for Tamil Nadu’s burgeoning tech ecosystem, Chennai-based Atomicwork has secured $25 million in Series A funding to transform enterprise IT service management through its innovative agentic AI platform. The funding round was led by Khosla Ventures and Z47, with participation from Battery Ventures, Blume Ventures, and Peak XV Partners.
Breaking New Ground in ITSM
Founded by Vijay Rayapati, Atomicwork is pioneering a new approach to IT service management (ITSM) that leverages artificial intelligence to streamline operations and reduce costs. The company’s platform combines an enterprise knowledge graph with agentic AI to automate routine IT tasks, enabling teams to focus on strategic initiatives rather than day-to-day process management.
Strategic Investment Focus
The fresh capital will be deployed to:
- Scale and enhance enterprise AI agents
- Expand go-to-market operations
- Strengthen platform support for enterprise integrations
- Ensure seamless scalability across operations
Notable Client Adoption
The platform has already gained significant traction, with global enterprises like Zuora and Pepper Money implementing Atomicwork’s solutions to optimize their IT operations. These implementations have resulted in measurable improvements in productivity and workplace experience.
Investor Confidence
Kanu Gulati of Khosla Ventures emphasized the platform’s transformative potential: “Atomicwork’s AI agents can autonomously handle everyday IT services, and employees can then focus on actually growing the business. This is the AI innovation that large organisations need to radically transform how they work.”
Tamil Nadu’s Tech Evolution
This funding round marks a milestone for Tamil Nadu’s startup ecosystem, particularly in the enterprise software sector. The state has been emerging as a hub for deep-tech startups, with Atomicwork’s success story potentially attracting more investment and talent to the region.
Industry Validation
The company’s growth is backed by over 40 global CIOs, CTOs, and industry veterans, indicating strong market validation. Sanjay Nath, co-founder and managing partner of Blume Ventures, noted: “With the rise of agentic solutions for enterprise workflows, IT is going to be a key strategic function in driving outcomes.”
Future Impact
Atomicwork’s platform addresses a critical need in enterprise IT, where traditional ITSM tools struggle to keep pace with modern business demands. The company’s AI-native approach positions it at the forefront of enterprise digital transformation.
Tamil Nadu’s Startup Ecosystem Benefits
This successful funding round is expected to:
- Create high-skilled employment opportunities in the region
- Attract more tech talent to Tamil Nadu
- Encourage more enterprise software startups in the state
- Strengthen the state’s position as a deep-tech hub
