Key facts
- Cognition, maker of the AI coding agent Devin, is reportedly in talks to raise new funding.
- The company is seeking a valuation of at least $40 billion.
- This potential valuation is tied to achieving a $1 billion annualized revenue run rate.
- In May, Cognition raised $1 billion at a $26 billion valuation.
- Devin is used by enterprises for tasks like software updates and migrations.
- Customers include Mercedes-Benz, NASA, and Goldman Sachs.
AI coding startup Cognition, the developer of the AI agent Devin, is reportedly in discussions with investors to secure new funding at a valuation of at least $40 billion. This potential valuation represents a significant increase from its previous funding round in May, where it raised $1 billion at a $26 billion valuation.
Sources cited by Bloomberg indicate that the new valuation is contingent on Cognition achieving a $1 billion annualized revenue run rate. In May, Cognition executive Scott Wu confirmed to TechCrunch that the company had reached a $492 million annualized revenue run rate and that enterprise adoption of Devin had been growing by 50% month-over-month for the preceding six months.
Wu also clarified that Devin is not positioned as a replacement for human programmers but rather as a tool to handle tedious, long-tail tasks. These include updating legacy software and migrating applications between platforms, which has contributed to its popularity among enterprise clients. Cognition's customer base includes major organizations such as Mercedes-Benz, NASA, and Goldman Sachs.