Lovable, the Swedish vibe-coding startup, is in talks to raise $300 million at a $13.2 billion valuation, according to TechCrunch AI. That figure is exactly double the $6.6 billion the company was worth last December. Menlo Ventures, which closed a fresh $3 billion fund just last month, is expected to lead the round. For a company that isn’t even three years old yet, that’s a remarkable pace.
What happened
Here’s the core of it, as reported by TechCrunch AI:
- Lovable is raising roughly $300 million in new capital.
- The proposed valuation is $13.2 billion, up from $6.6 billion in December.
- Menlo Ventures is set to lead, drawing on its new $3 billion fund.
- The company hit a $500 million annualized revenue run rate in June.
That last point is the one that matters most. Doubling a valuation in roughly six months usually raises eyebrows. Backing it with half a billion in annualized revenue changes the conversation.
What Lovable actually does
Lovable sells vibe coding, which lets people build software just by describing what they want in plain language. No hand-written code required. Its users range from solo founders and designers to salespeople spinning up websites and e-commerce storefronts.
What stands out here is the enterprise pull. Lovable counts Workday, Asana, and Nvidia among its customers. When names like those start paying for a tool this young, it signals the category has moved past hobbyist experimentation and into real business budgets.
Why this matters
Vibe coding is, by a wide margin, the most popular and most profitable use case for AI right now. That’s the real headline behind Lovable’s numbers. The money is chasing a proven demand, not a promise.
The competitive picture backs that up. TechCrunch AI notes several other players scaling fast:
- Replit hit a $9 billion valuation in March.
- Factory, which helps enterprises build AI agents, raised $150 million at a $1.5 billion valuation in April.
- Cursor, a vibe-coding tool aimed at developers, was acquired by SpaceX for $60 billion last month.
Stack those together and a pattern emerges. Investors aren’t placing one bet on one company. They’re funding an entire layer of the software stack that assumes people will describe software more often than they write it.
The context
A year ago, most of these companies were either tiny or didn’t exist at scale. The status quo was that building software meant hiring engineers or learning to code yourself. Vibe coding attacks both assumptions at once, and the valuations reflect how quickly the ground has shifted.
Lovable’s jump is the sharpest example. Going from $6.6 billion to a reported $13.2 billion in about six months isn’t normal venture math. It happens when revenue growth outruns the last round’s assumptions so fast that investors reprice the whole thing.
What to expect next
A few things worth watching if this round closes:
- Expect more enterprise deals. Once Workday and Nvidia are on the books, Lovable’s sales pitch to the next Fortune 500 buyer gets a lot easier.
- Expect the competition to raise too. When one player doubles, rivals like Replit and Factory face pressure to match the war chest.
- Expect scrutiny on retention. A $500 million run rate is impressive, but the real test is whether those users, especially the enterprise ones, stick around past the first contract.
For practitioners, the takeaway is practical. Vibe-coding tools are no longer a curiosity to try on a weekend project. They’re being bought at scale by the companies you work for, which means the skill of describing software well is starting to matter as much as writing it.
The round isn’t finalized yet, and terms can shift before ink dries. You can find the full details at the original source.