U.S. software company Rocket Software has acquired Israeli startup Geniez AI in a transaction valued at up to $100 million, according to estimates. The one-year-old company—then made up of six employees—received the acquisition offer about a year after announcing its Seed round.
Geniez AI was founded by CEO Gil Peleg and co‑founder Dan Shprung, both graduates of Mamram, the Israel Defense Forces’ computing unit. In September 2025 the startup raised $6 million in a Seed round co‑led by StageOne Ventures and Canapi Ventures. Peleg and Shprung previously founded Model9, a mainframe data management startup that was acquired by BMC Software in 2023.
Geniez AI technology and Rocket integration
Geniez AI develops generative AI technology to help enterprises manage and modernize mainframe systems. Its AI agents run directly on mainframes, monitoring live systems, diagnosing incidents and executing workflows using natural language.
As part of the acquisition, Geniez AI’s technical leadership and engineering team will join Rocket Software to accelerate the buyer’s AI initiatives, including new capabilities for Rocket EVA, Rocket’s agentic AI platform for core systems. The two companies said they aim to shift mainframe management away from processes that depend heavily on specialized expertise toward AI‑assisted operations that make complex systems easier to understand, manage and modernize.
Rocket Software said the acquisition would help enterprises address the shortage of skilled mainframe professionals, reduce operational complexity and automate mission‑critical workflows. The combined technology is intended to help teams turn institutional knowledge into actionable intelligence, surface insights and take action across core systems while maintaining appropriate security, governance and control.
“Geniez AI was founded on the belief that GenAI-based business applications can fundamentally change how enterprises understand and operate their mainframe environments,” Peleg said. Joining Rocket, he added, would give the company the scale, customer reach and mainframe expertise needed to bring its technology to more organizations and help shape the next era of intelligent, mission-critical operations.
Milan Shetti, president and CEO of Rocket Software, said the acquisition would accelerate the company’s efforts to help enterprises securely apply agentic AI to their systems and described the deal as part of Rocket’s broader strategy to modernize core systems while extending AI capabilities to the critical workloads that run on them.
