Cognition, the startup behind AI coding assistant Devin, announced on September 8 that it raised $2 billion at a $48 billion valuation. The round was led by Andreessen Horowitz, Accel, Founders Fund, General Catalyst, and Avenir, and comes just four months after Cognition's previous fundraise at a $26 billion valuation.
The startup's soaring valuation signals that venture capitalists still see room for multiple major players in AI coding, one of the technology's most significant commercial applications. Cognition said its annualized run-rate revenue has grown from $492 million to $900 million since its last raise in May.
The fundraising comes as the AI coding market intensifies. Cursor, another popular coding assistant, was in talks in April to raise at a $50 billion valuation before agreeing to sell to SpaceX for $60 billion. At that time, Cursor's annualized revenue had surpassed $2 billion, meaning Cognition currently commands a higher revenue multiple than Cursor did in the spring.
Founded in 2024 by math prodigy Scott Wu, Cognition counts Mercedes-Benz, NASA, Goldman Sachs, and Citi among its major enterprise customers. The company leases an Nvidia server cluster costing hundreds of millions annually and is training its own model based on open-source alternatives to reduce reliance on expensive third-party models from OpenAI and Anthropic.
