Swedish artificial intelligence platform Lovable has officially announced a massive $400 million Series C funding round, elevating its total valuation to an unprecedented $13.3 billion. The startup enables non-technical users to generate full-stack web software using natural-language prompts—a movement commonly referred to as “vibe coding.”
Key Financial Highlights #
Capital Raised:$400 Million** Current Valuation:$13.3 Billion Annual Recurring Revenue (ARR):**$500M+
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Where Did the Funding Come From? #
The funding round was co-led by Silicon Valley venture firm Menlo Ventures and the Scaleup Europe Fund (managed by private equity firm EQT). A strong group of international institutional investors also participated in the round:
Europe: Balderton Capital and CarmignacAsia: Tencent and World Innovation Lab (WiL)Latin America: Kaszek Ventures and LTS GrowthUnited States: Regent, along with returning investors Accel, CapitalG, DST Global, and HubSpot Ventures
Why Is Lovable Raising Money & How Will It Be Spent? #
Lovable allows non-technical creators and developers to build full-stack software applications simply by typing natural-language prompts—a phenomenon widely known as “vibe coding.” As demand for automated software development surges, Lovable needs additional infrastructure to scale its services globally.
The company plans to deploy the $400 million capital in three key areas:
Infrastructure & Product Expansion: Transitioning from building software to helping customers fully run, host, and manage operations for their businesses.Global Recruitment: Expanding the workforce to approximately 450 team members, with heavy hiring in machine learning, engineering, and cybersecurity.International Expansion: Strengthening its global footprint by opening and expanding offices in London, Boston, New York, and San Francisco while maintaining its headquarters in Stockholm.
Financial Health: ARR and Profitability Status #
Lovable’s financial growth has been remarkable. The company’s Annual Recurring Revenue (ARR) has crossed $500 million (with a run-rate projected to reach $600 million), representing nearly a three to four-fold growth over the last 12 months.
Is Lovable profitable? Currently, Lovable is not profitable. Like many hyper-growth artificial intelligence startups, the company is prioritizing rapid market capture, research and development, and heavy compute/infrastructure costs over short-term profitability. However, its strong subscription revenue model provides a solid foundation toward sustainable margins in the future.
About the Founders: Who Behind the Success? #
Lovable was founded in late 2023 by CEO Anton Osika and CTO Fabian Hedin:
Anton Osika (CEO): A former theoretical physicist who previously conducted research at CERN and worked as a machine learning engineer. Before launching Lovable, Osika developed GPT-Engineer, an open-source tool that accumulated tens of thousands of GitHub stars and served as the technical foundation for Lovable.
Fabian Hedin (CTO): A talented software engineer and product architect who built the initial prototypes of Lovable. Despite failing twice to launch during their first year, Hedin and Osika persisted until their third iteration went viral, quickly scaling the platform to over 60 million user-created projects today.
Official Announcement & Social Media Reactions #
**Official Social Announcement:** [View Lovable’s update on X (formerly Twitter)](https://x.com/Lovable/status/2087479640952836349?s=20)
Source : [We just raised $400M in Series C funding to help people run their businesses](https://lovable.dev/blog/series-c)