Higgsfield Raises $400M in Series B Funding, Elevating Valuation to $5.4B in Just 8 Months

On Monday, Higgsfield announced that it has successfully secured $400 million in a Series B funding round, resulting in a valuation of $5.4 billion. This round of investment comes only eight months after the company reached a valuation of $1.3 billion.

Founded in 2023 by former Snap executive Alex Mashrabov, Higgsfield empowers users to create AI-generated images and videos. Over the last year, the company gained notoriety for showcasing AI-generated films at both the Cannes Film Festival and in New York City. Its product lineup includes Cinema Studio, which aids filmmakers in directing AI-centric movies, and Marketing Studio, specifically designed for marketing and advertising teams. In its funding announcement, Higgsfield reported an annualized revenue of $700 million and a user base of 30 million in 200 countries.

The enterprise sector has witnessed substantial growth for the company, which is now working with 390 of the Fortune 500 firms. Mashrabov mentioned to TechCrunch that Higgsfield plans to integrate video AI more deeply into daily marketing and creative workflows.

The newly raised funds will cater to essential business needs such as hiring and product development while also covering computing costs. “Video is incredibly resource-intensive in the AI space,” Mashrabov stated. Processing just one minute of video is the equivalent of managing 60,000 words. Thus, securing reliable computing capacity has become vital to remain competitive against industry rivals like Synthesia and Runway.

DST Global led this funding round, with additional contributions from investors such as Goldman Sachs Alternatives, Valor Capital, and Tribe Capital.