Y Combinator-backed Motion has raised a fresh $38 million Series C to accelerate its vision of creating an all-in-one AI agent suite for small and midsized businesses (SMBs). The round was led by Stacey Bishop of Scale Venture Partners, with continued backing from Y Combinator, HOF Capital, 468 Capital, SignalFire, Valor Equity Partners, Fellows Fund, Leonis Capital, and Apollo Projects — the fund run by the Altman brothers.
Founded in 2019 by Harry Qi, Omid Rooholfada, and Ethan Yu, later joined by Chander Ramesh, Motion began as an AI-driven calendaring and productivity app. Over the past year, however, the company has shifted toward building a comprehensive suite of interconnected AI agents. Qi, who previously worked as a hedge fund quant before turning to entrepreneurship, describes the opportunity as building “the agentic equivalent of Microsoft Office.”
From Productivity Tool to Enterprise-Grade AI Platform
Motion’s pivot to AI agents has resonated strongly with SMBs that lack the resources to build custom AI solutions in-house. In just four months, Motion’s new AI agent bundle — featuring virtual assistants for scheduling, sales, customer support, and marketing — grew to over 10,000 business customers and is generating $10 million in annual recurring revenue (ARR).
Unlike standalone AI tools, Motion’s platform integrates these agents into a single system, while also connecting with widely used enterprise tools like Slack, Google Apps, Teams, and Salesforce. Customers are billed based on usage, with entry pricing at $29 per month and scaling up for larger teams or enterprise contracts.
Qi notes that adoption is being driven by the platform’s ability to reduce friction across departments: “Instead of juggling disconnected AI products, businesses get one suite where every agent works together.”
Strategic Growth and Investor Confidence
The $38 million funding round was five times oversubscribed, underscoring investor conviction in Motion’s trajectory. To date, the company has raised $75 million and reached a post-money valuation of $550 million. The growth momentum has also attracted new leadership: Ashutosh Desai, Qi’s former YC coach and adviser, recently joined Motion as a full-time executive.
For Qi, the shift from high-paying hedge fund work to building Motion has been both challenging and rewarding. “Financially, it might have been the wrong choice,” he admits. “But when customers tell us Motion helps them grow revenue or reclaim time, that makes it worth it. We’re building something that can last.”
The Bottom Line
By combining the power of multiple AI agents into a unified suite, Motion is carving out a disruptive position in the enterprise software landscape. With its latest round of funding and rapid SMB adoption, Motion is now one of the most closely watched startups emerging from Y Combinator’s portfolio — with ambitions to become nothing less than the Microsoft of AI agents.