San Francisco-based artificial intelligence (AI) programming platform Replit has raised $250 million in new funding. With this investment, the company’s valuation has reached $3 billion. The funding highlights the growing interest in “code-generation” (code-gen) startups at a time when there is increasing demand for using AI in software development processes.
The funding round was led by Prysm Capital, with Google’s AI Futures Fund and Amex Ventures joining as strategic investors. The company’s existing investors, Andreessen Horowitz (a16z) and Coatue, also participated in the round.
Well-known companies such as Duolingo and Zillow are already using Replit in their software development processes. The company recently launched a new tool called Agent 3, which can autonomously test code, fix errors, and create custom AI agents.
Other startups in the sector are also attracting investor attention. This week, Cognition raised over $400 million, reaching a valuation of $10.2 billion, while Cursor reached a $10 billion valuation in May after raising $900 million.
