CAST AI

๐Ÿ“‚ Artificial Intelligence๐Ÿ“‚ Software Enterprise๐Ÿ“ Vilnius๐Ÿ—“๏ธ Founded: 2019

Cloud optimization platform using AI to reduce infrastructure costs and right-size cloud spending for enterprises.

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Podcast Episode

๐ŸŽ™๏ธ Deep Dive

EP37 - Unicorn Files - CAST AI: from Kubernetes automation to GPU marketplace

Listen to the episode

About CAST AI

When a DevOps engineer looks at their company's cloud bill, they often find a bleak landscape: oversized Kubernetes clusters, instances running at thirty or forty percent of actual utilization, resources allocated for peaks that will never materialize. According to the Kubernetes Cost Benchmark Report published by CAST AI in 2025 โ€” based on analysis of over 2,100 organizations across AWS, Google Cloud, and Azure โ€” applications use on average only 10% of CPU and 23% of memory actually allocated to them. The gap between paid resources and used resources is a structural waste worth billions of dollars a year, which no manual cost review can systematically resolve. It is on this fracture that CAST AI built its business. Founded in 2019 in Estonia by Yuri Frayman, Laurent Gil, Leon Kuperman, and Domantas Lubys โ€” with operational headquarters subsequently moved to Miami โ€” the startup developed an automatic Kubernetes workload optimization platform that promises cloud cost reductions between 50 and 80%, without requiring changes to application code and without manual intervention from engineering teams. The mechanism is elegant in its simplicity: the platform continuously analyzes actual resource utilization, selects the most cost-effective cloud instances for each workload type, dynamically scales capacity based on actual demand, and systematically leverages spot and preemptible instances โ€” the discounted capacity made available by cloud providers when they have unused headroom โ€” to cut the bill without compromising performance. All automatically, transparently, and reversibly. Commercial traction is significant. CAST AI's customer list includes Banking Circle, Yotpo, NielsenIQ, and Akamai โ€” names that do not entrust their infrastructure to a technology unless it has proven reliability in critical production environments. The pricing model, based on a percentage of savings actually generated, perfectly aligns the startup's incentives with those of its customers: CAST AI earns only when the customer saves. The financial trajectory tells a story of rapid growth. After a $20 million Series A in March 2023 and a $35 million Series B in November of the same year, in April 2025 the startup closed a $108 million round โ€” bringing total funding raised beyond $163 million โ€” at a valuation approaching one billion dollars, on the cusp of unicorn status. The round was raised with the objective of accelerating expansion in US and European markets and enhancing the platform's capabilities for AI workload optimization, which requires enormously more expensive GPU resources and where the optimization margin is even greater. Particularly noteworthy is the expansion of scope beyond pure cost optimization: CAST AI has integrated security features into the platform โ€” container vulnerability scanning, access management, policy enforcement โ€” transforming itself from a FinOps tool into a holistic Kubernetes cluster management platform. This broadened positioning increases product stickiness: a company that entrusts CAST AI with not only the costs but also the security of its clusters is unlikely to switch vendors. At a historic moment when corporate cloud spending continues to grow โ€” driven by AI workloads and the proliferation of microservices โ€” CAST AI finds itself riding two converging structural trends: the need to contain infrastructure costs and the growing complexity of cloud-native systems. A combination that, in the FinOps and Kubernetes optimization market, is already worth billions.

The Story

CAST AI was founded on the observation that while companies migrate to cloud for flexibility, most overspend dramatically due to misconfiguration and inefficient resource allocation. The founding insight was that AI could continuously analyze usage patterns and recommend cost-saving changes automatically. CAST AI became the tool for engineering teams to optimize cloud economics, often reducing spend by 30-50% without downtime.

How CAST AI works

Business Model

Cast AI provides cost optimization for cloud and Kubernetes. The model is usage-based SaaS: companies pay a base fee and variable tariff proportional to CPU and resources used. B2B customers get automatic cloud spend savings; revenue comes from subscriptions and a proportional share of consumption, with enterprise plans and personalized technical support options.

Market & Clients

Key Customers

Engineering and DevOps teams running Kubernetes workloads on AWS, GCP or Azure. Customers include Banking Circle, Yotpo, NielsenIQ, and Akamai.

Funding & Investors

Funding Rounds

  • 2025 - Series C: $108M
    Lead: SoftBank Vision Fund 2, G2 Venture Partners

Founding Team

Founders

Yuri FraymanCo-founder & CEO
Laurent GilCo-founder & President
Leon KupermanCo-founder & CTO

Key Metrics

Clienti enterprise2.100+ (2025)
Risparmio cloud medio per cliente50%+ (2025)
Valutazione Series C~$850M (2025)

Lessons from CAST AI

  • Solving a problem everyone has but no one wants to manage manually is a recipe for rapid product-market fit.
  • Expanding from cost optimization to GPU marketplace is an example of how to use the customer base to enter adjacent markets.
  • Founder background (ex-exit with Oracle) accelerated credibility with enterprise customers.

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Frameworks used by CAST AI

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TAM / SAM / SOM TAM SAM SOM explained: top-down vs bottom-up method, common mistakes, real example with Scโ€ฆ
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KPI for Startups Which KPIs to track based on your startup stage: from idea to Series A. North Star Metric,โ€ฆ
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Sources

๐ŸŽ™๏ธ Scalable Podcast โ€” European startup stories ยท ๐Ÿ‡ฎ๐Ÿ‡น in Italian
Spotify ๐ŸŽง Apple