Budapest-based Kodesage, a startup specializing in AI-powered legacy software modernization, has raised €2.3 million in pre-seed funding to accelerate the development of its platform. The funding round was led by Portfolion Capital Partner, the venture capital and private equity arm of OTP Group, with participation from notable angel investors, including three former UiPath executives.
Legacy systems remain mission-critical for enterprises, yet they are often outdated, difficult to manage, and expensive to replace. Due to high costs and risks, many organizations struggle with modernization efforts, leaving them reliant on aging technology. Kodesage’s AI-powered solution aims to simplify this process, allowing businesses to enhance and evolve their existing systems without undergoing disruptive and costly full-scale replacements.
„Legacy systems are deeply embedded in enterprise workflows, but they come with major challenges—outdated technology, poor documentation, and dependence on key employees who understand them. Our technology empowers enterprises to navigate and upgrade these systems efficiently, reducing costs and risks while ensuring compliance and security,” said Gergely Dombi, co-founder and CEO of Kodesage.
Expertise-Driven Innovation
Kodesage was founded in 2024 by Miklós Szurdi, Gergely Dombi, and György Szilágyi, all of whom bring extensive experience in enterprise IT modernization and software development. Their combined knowledge has shaped Kodesage’s mission: to provide an AI-powered platform that makes maintaining and upgrading legacy systems more efficient, secure, and cost-effective.
Kodesage’s platform offers a comprehensive solution for enterprises struggling with outdated software, focusing on three key areas:
- Automated Documentation: the AI continuously generates up-to-date documentation, helping engineers understand complex systems and ensuring compliance with regulatory requirements.
- Accelerated Onboarding: new developers can quickly grasp intricate legacy codebases, as the AI acts as an experienced engineer, explaining system architecture and logic.
- Modernization and Maintenance: The platform simplifies the maintenance and transformation of legacy systems, supporting lift-and-shift migrations and incremental upgrades.
With paying customers and multiple pilot programs already underway, Kodesage plans to use the funding to expand its platform capabilities and scale its market reach.
A Vision for the Future of Legacy Software
Kodesage’s long-term vision extends beyond assisting engineers with legacy systems. The company is laying the groundwork for AI-driven code agents capable of autonomously navigating and optimizing codebases. „At Kodesage, we believe that understanding and modernizing legacy software shouldn’t feel like an endless uphill battle. Our AI-powered platform allows teams to focus on building future-ready solutions rather than being stuck managing technical debt,” said Dombi.
With increasing demand for AI-powered legacy modernization solutions, Kodesage is positioning itself as a key player in helping enterprises transform their most complex and critical software systems.
