Alex Mashrabov (@alexmashrabov) and Yerzat Dulat (@codentropy) have raised $400 million for Higgsfield at a $5.4 billion post-money valuation, vaulting their AI video platform past the price investors put on longtime rival Runway earlier this year.
DST, Goldman Sachs, Liberty Global and Intel participated in the financing alongside other investors. The round values Higgsfield at more than four times the $1.3 billion valuation attached to its January financing, a gain of roughly 315% in seven months.
That acceleration tracks Mashrabov's second attempt to build a mass-market visual AI platform. He previously co-founded AI Factory, which Snap acquired for a reported $166 million in 2020, and later led generative AI work at Snap. Dulat, Higgsfield's co-founder and chief technology officer, built the infrastructure that lets the platform route creative jobs across different image, language and video models.
The pair founded Higgsfield in 2023 and spent roughly a year developing the product before launching its browser-based professional video tools in April 2025. Higgsfield now sells a creative workspace spanning AI-generated advertisements, short-form social media content and cinematic productions.
A valuation built on annualized spending
The financing follows a rapid sequence of higher valuations. Higgsfield raised an $8 million seed round in 2024, followed by a $50 million Series A in September 2025. An $80 million Series A extension in January brought the round to more than $130 million and priced Higgsfield at more than $1.3 billion.
By June, Higgsfield was seeking $300 million to $500 million at a $5 billion pre-money valuation, according to The Information. The completed $400 million round lands near the middle of that range. Its $5.4 billion post-money valuation reflects the $5 billion price discussed before the new capital was added.
The valuation depends heavily on Higgsfield's reported revenue trajectory. Higgsfield said in January that it had reached a $200 million annualized revenue run rate less than nine months after launch. That figure was a projection based on recent sales activity rather than revenue recognized under accounting rules, a distinction Higgsfield clarified in Reuters' January report.
Private-market research platform Sacra estimated that Higgsfield reached a $500 million annualized pace in June, up from about $400 million in May. The new valuation equals about 10.8 times that June run rate. Higgsfield has said it is targeting a $1 billion annualized pace by the end of 2026, though run rate can move quickly for a usage-based product and does not show costs, customer retention or recognized revenue.
Higgsfield's January figures also came from Higgsfield: 15 million users and 4.5 million daily video generations. Its current company profile says the platform serves 25 million users who have produced 850 million image and video generations. Those totals measure activity across free and paid users rather than the size of Higgsfield's paying customer base.
Investors price the application layer above the model
Higgsfield combines its own creative tools and models with systems supplied by outside AI developers. An OpenAI case study describes how Higgsfield uses language models to translate a marketer's desired outcome into camera instructions, pacing and visual priorities before passing the plan to a video generator.
That architecture lets Higgsfield switch between models while keeping the workflow, customer relationship and billing layer. The strategy reduces its dependence on any single model provider and gives brands one interface for advertisements, product videos and social campaigns. Higgsfield still faces the cost of buying inference and maintaining its own models, making gross margin and customer retention central to whether the current run rate supports a $5.4 billion price.
The round also puts Higgsfield just above Runway, which raised $315 million at a reported $5.3 billion valuation in February. Runway is using that capital to train world models for video and simulated environments. Higgsfield is concentrating on the commercial production layer where agencies, creators and marketing departments already spend money.
Higgsfield's new backers widen that bet beyond venture firms. DST and Goldman Sachs bring late-stage growth capital, while Liberty Global and Intel add strategic investors with exposure to media distribution and computing infrastructure. Accel, Menlo Ventures, GFT Ventures and AI Capital Partners backed earlier rounds.
The $5.4 billion valuation gives Mashrabov and Dulat the capital to press their distribution advantage. It also sets a demanding benchmark: Higgsfield must turn fast-moving usage and annualized spending into repeatable revenue before video generation becomes a standard feature inside larger advertising, design and cloud platforms.