**Goldman Sachs Leads Investment in Software Delivery Startup Harness at $5.5 Billion Valuation**

Harness, the software delivery startup founded by Jyoti Bansal, has just reached a major milestone with a funding round led by Goldman Sachs valuing the company at an impressive $5.5 billion. The fresh capital influx of $200 million is a testament to the growing importance of Harness' technology in the rapidly evolving landscape of software development.

For those who may recall, Bansal's previous venture, AppDynamics, was sold to Cisco Systems just nine years ago for $3.7 billion, mere days before it was set to go public. This time around, Harness is worth substantially more, with a valuation that eclipses its predecessor's at the time of sale.

Harness' technology focuses on ensuring that code produced using artificial intelligence (AI) doesn't introduce vulnerabilities or trigger cost overruns. With the surge in generative AI, this capability has become increasingly essential for companies to maintain their software systems' integrity and efficiency. The startup's software leverages models from prominent players like Anthropic and OpenAI, underscoring its cutting-edge approach.

In recent months, venture capitalists have been pouring money into startups offering subscription-based tools for directing AI models to write and update software. Bansal has acknowledged the growing trend by bolstering Harness' cybersecurity chops through a merger with Traceable, another company he co-founded. The combined entity, based in San Francisco, boasts an impressive 1,300 employees.

Harness is reportedly on track to exceed its goal of $250 million in annualized revenue, achieving a growth rate of over 50% year-over-year. This milestone puts it ahead of AppDynamics at the time it was acquired by Cisco, and marks a significant achievement for Bansal's latest venture.

Bansal has expressed his intention to pursue an initial public offering (IPO) in the future, driven by a desire to "build for the long term" as a public company. In addition to the funding round, Harness is also planning a $40 million tender offer to provide liquidity to its long-standing employees.

As the tech landscape continues to evolve at breakneck speed, startups like Harness are poised to play a crucial role in shaping the future of software development and AI-driven innovation. With Goldman Sachs' backing, Harness is well-positioned for continued growth and success.