Mechanical Orchard, a startup founded by Rob Mee, former CEO of Pivotal, is making waves in the digital transformation landscape by offering a unique solution to modernize aging enterprise systems. Digital transformation, the process of updating outdated applications and processes using cloud technologies and digital workflows, has proven to be a challenging endeavor for many large companies. Despite widespread efforts, companies have captured only a fraction of the expected revenue uplift and cost savings.
Rob Mee, drawing from his extensive experience in dealing with old infrastructure during his time at Pivotal, launched Mechanical Orchard in 2022. The startup leverages AI-enhanced tools and cloud instances to build modernized versions of companies’ legacy applications and services. Mee was motivated by the risks and challenges enterprises face when modernizing critical legacy systems, which often leaves IT leaders hesitant to embark on such projects.
Mechanical Orchard differentiates itself by using generative AI as a “pair programmer” to assist in rewriting and creating new software for clients. While this approach carries inherent risks, the company ensures that human developers are always involved in the process, debugging and reviewing the final product. This combination of AI and human oversight aims to reduce the risks associated with digital transformation, providing continuous proof of successful migration to build confidence among IT leaders.
The company’s innovative approach has attracted significant interest, leading to the closing of a $50 million Series B funding round led by GV (formerly Google Ventures), Alphabet’s corporate venture arm. This round brings Mechanical Orchard’s total funding to $74 million. Mee emphasized that the raise was unsolicited, with GV offering a compelling partnership opportunity.
Mechanical Orchard’s methodology involves a thorough understanding of a client’s legacy system, identifying dependencies, and breaking down components to replicate functionality in a cloud-hosted environment. The company’s AI capabilities are a key focus for further research and development, as it aims to expand its influence in sectors such as retail, logistics, manufacturing, transport, and financial services, where legacy IT remains a significant challenge.
Currently based in San Francisco, Mechanical Orchard employs around 90 people across offices in the U.K., Ireland, Italy, and Germany. The new funds will be directed towards enhancing its AI capabilities, with a view to further solidifying its position in the digital transformation market and helping businesses overcome the existential threat posed by outdated software.
