Orb, a modern billing platform company that reimagines how businesses monetize software, announced it raised $25 million in Series B funding led by Mayfield. Existing investors Menlo Ventures, Greylock Partners, South Park Commons, Basecase, and Scribble Ventures and new investor Uncorrelated Ventures participated in this latest round.
This latest funding round brings Orb’s total funding to $44.1 million, enabling the company’s growth as it empowers businesses with the infrastructure needed to adapt to evolving software landscapes and emerging AI-driven business models.
While legacy seat-based billing solutions served the software industry through the first wave of the cloud, the rise of GenAI and more intelligent, adaptive, and personalized products have driven demand from a pricing-per-seat model toward aligning pricing with product usage or outcomes. The consequence of this shift is that legacy-billing-powered businesses struggle to align their pricing with the value they deliver. They must redirect valuable engineering efforts toward optimizing monetization strategies instead of innovating and iterating on core product features. And this places these businesses at a disadvantage, particularly as macroeconomic headwinds force end users to prioritize spending on software applications that impact their business most.
Orb essentially adds layer of billing infrastructure that accelerates the evolution of software pricing. And Orb delivers a comprehensive billing platform that enables businesses to implement innovative pricing strategies from usage-based models to outcome-driven pricing. This helps engineers focus all of their time driving innovation, while finance and revenue teams can seamlessly adapt pricing strategies to meet market conditions.
Launched by former engineering leaders at Asana, scaling software platforms and adapting monetization strategies to match evolving product capabilities are in Orb’s DNA. And since its Series A funding round in March 2023, the company has experienced remarkable growth, tripling its customer base since the start of this year and adding industry-leading companies like Vercel, Pinecone, and Perplexity as customers.
Through Orb, organizations can implement and iterate on complex pricing models that reflect the customer-centric value delivery of modern software. And the platform’s powerful API, extensible platform, and integrations empower engineers to enable finance, sales, and customer success teams to drive growth and innovation. Orb’s architecture is also built to support emerging monetization strategies, with native support for monetizing AI software that learns, adapts, and delivers personalized value.
KEY QUOTES:
“The software industry is on the precipice of an evolution in pricing as AI and machine learning reshapes how software value is created and delivered. Our mission is to ensure that businesses have the flexible, powerful billing infrastructure they need to monetize these next-generation products effectively. This funding will accelerate our efforts to build the tools that empower companies to transform their pricing strategies as rapidly as they’re innovating their products.”
-Alvaro Morales, CEO and co-founder of Orb
“Orb has quickly become an essential partner for companies pushing the boundaries of what’s possible in software. As we see more businesses leveraging AI to create smarter, more efficient solutions, pricing complexity increases and the need for flexible billing infrastructure becomes critical. Orb’s approach gives companies the agility to experiment with new pricing models that reflect the unique value of these intelligent systems across the full revenue workflow. We’re thrilled to partner with Orb on this journey in an AI-first world as they continue to innovate in this vital space.”
-Sri Pangulur, Partner at Mayfield leading the investment
“As Pinecone has scaled and our vector database technology has advanced, Orb has been a trusted partner in helping us align our billing structure with the value we deliver. Their platform gives us the flexibility to experiment with and implement sophisticated usage-based models. This adaptability is essential as we continue to innovate in the rapidly evolving field of AI infrastructure, allowing our team to focus on core product development for our customers.”
-Ifat Villaret, Director of Finance, Pinecone
