InstaLILY launches Lily, an AI forward-deployed engineer, after $60M Series B

InstaLILY has closed a $60 million Series B funding round and launched Lily, an AI forward-deployed engineer that builds software tailored to an organization's specific business processes. For AI builders and enterprise teams, this signals a shift toward domain-tuned AI agents that can turn institutional knowledge into working applications in days rather than quarters, with deployment options spanning cloud and on-premises environments.

What happened

InstaLILY announced a $60 million Series B round led by Energize Capital, with participation from existing backer Insight Partners and new strategic investors Home Depot Ventures and United Rentals. The round brings the company's total funding to nearly $100 million.

Alongside the funding, the company launched Lily, described as the world's first AI forward-deployed engineer. Lily is trained on an organization's business processes and can develop applications for pricing quotes, logistics planning, sales opportunity identification, and field technician diagnostics. It plugs into existing software and data systems and adapts as processes evolve.

InstaLILY's existing platform includes InstaWorkers, domain-specific AI teammates that automate sales, operations, and service workflows. These agents operate under InstaBrain, a specialized LLM layer fine-tuned for each customer's domain.

Why AI builders should care

The InstaLILY model represents a practical approach to enterprise AI: instead of generic chatbots or one-size-fits-all automation, it uses domain-tuned LLMs that learn the specific nuances of a business. For AI builders, this means the opportunity to build agents that go beyond simple RAG or workflow automation and actually generate custom software from institutional knowledge.

CEO Amit Shah explained that each organization has work that is too specific for off-the-shelf software, so it runs on legacy systems and manual workarounds. Lily aims to turn that work into software that runs in days, not quarters. This is a pattern that could be replicated by other teams building AI agents for vertical industries.

Practical implications

Lily can be deployed in the cloud or on-premises via small data center infrastructure, with enhanced security for sensitive customer data. This flexibility matters for enterprises in regulated industries like healthcare and construction.

InstaLILY reports that its revenue has grown more than fivefold over the past year. Specific customer outcomes include helping a national distributor identify and pursue sales opportunities that generated over $200 million in new revenue, and automating complex request-for-quote processes for an industrial supply firm, eliminating hundreds of thousands of hours of manual work.

Listed customers and prospects include SunSource, Parts Town, SRS Distribution, United Rentals, ShipStation Global, Henry Schein, and PartsSource across construction, logistics, healthcare, and field service sectors.

Caveats

All reported outcomes and capabilities are based on company press materials and public coverage. Specific customer names beyond those listed were not disclosed. Pricing, deployment details, and product capabilities may evolve as InstaLILY expands Lily's functionality and enters new industries. The company plans to build out its small data center infrastructure and grow its teams, but timelines and specific technical specifications were not provided.