LangWatch, an Amsterdam-based startup focused on optimizing Large Language Model (LLM) applications, has raised €1 million in a pre-seed funding round. The investment, led by Passion Capital with participation from Volta Ventures and Antler, will be used to further develop its platform and expand its engineering team. The company is positioning itself as a pioneer in LLMops (Large Language Model Operations), offering a platform that helps businesses monitor, evaluate, and fine-tune their AI-powered applications. As enterprises increasingly rely on LLMs for automation and decision-making, tools like LangWatch are becoming essential for ensuring performance, efficiency, and cost-effectiveness.
LangWatch aims to provide companies with deep insights into their AI applications, helping them maintain high-quality results while demonstrating impact to upper management. The platform integrates DSPy-based optimizers, enabling AI engineers to fine-tune prompts, improve accuracy, and reduce operational costs by identifying more efficient AI models. According to co-founder Manouk Draisma, enterprises need solutions that go beyond surface-level insights. LangWatch is designed to give engineers the ability to quickly diagnose issues, enhance quality, and iterate at an unprecedented pace, ensuring businesses can confidently deploy AI solutions that are both competitive and cost-efficient.
Founded in 2023 by Manouk Draisma and Rogério Chaves, LangWatch brings together a leadership team with over 25 years of experience in software development. With backgrounds at companies like Booking.com and Lightspeed, they have firsthand knowledge of the challenges involved in deploying and scaling AI applications. Their vision is to create a user-friendly AI optimization platform that serves both technical and non-technical teams. LangWatch’s interface includes tools like the ‘Annotation Inbox,’ which allows users to provide structured feedback, bridging the gap between AI engineers and decision-makers.
As the adoption of LLMs accelerates, enterprises face major hurdles, including the unpredictability of AI outputs and a shortage of skilled engineers. LangWatch’s platform addresses these issues by offering automated quality control and optimization tools that ensure LLM applications remain reliable, adaptable, and cost-effective. Additionally, as businesses look for alternatives to expensive proprietary models, LangWatch helps teams transition to more efficient AI architectures, including open-source options. This not only lowers costs but also provides companies with greater control over their AI ecosystems.
According to figures from Passion Capital, the global LLM market was valued at approximately €5.4 billion in 2024 and is projected to reach between €117 billion and €133 billion by 2034, growing at a CAGR of 35-40%. With such rapid expansion, businesses need solutions that ensure their AI investments remain competitive. LangWatch is positioning itself as a key player in this emerging industry, offering companies the tools they need to maximize the performance of their AI-powered applications. With fresh funding secured and a growing demand for AI optimization solutions, LangWatch is well on its way to reshaping how enterprises manage and improve their LLM deployments.
