AI Coding Startup Cognition Raises $1 Billion at a $25 Billion Pre-Money Valuation

Cognition, the creators of the autonomous AI software engineer Devin, announced on Wednesday that they have successfully raised over $1 billion, reaching a pre-money valuation of $25 billion.

This represents a substantial increase from the $10.2 billion post-money valuation noted eight months ago, when the company received $400 million in funding last September.

The funding round was led by Lux Capital and General Catalyst, with continued support from existing investors like Founders Fund and 8VC. New participants in this round included Ribbit Capital, Atreides, and Layer Global.

This significant backing from prominent venture capitalists underscores a robust confidence in the potential of independent AI software coding startups. Last year, it appeared that model creators would dominate this emerging market. Competitors such as Anthropic’s Claude Code, OpenAI’s Codex, and potentially Google’s coding agent Jules (following Google’s acqui-hire of Windsurf last year) have certainly captured a considerable portion of it.

Nonetheless, Cognition, which acquired the remaining assets of Windsurf last year, asserts that it services major clients such as Mercedes-Benz, NASA, Goldman Sachs, and Santander. The company also reports an annualized revenue run-rate of $492 million, with enterprise usage of Devin increasing by 50% month-over-month over the past six months.