Technology and Science27 May, 20262 min read
Cognition Raises $1 Billion At $25 Billion Valuation For Devin AI Coding Agent
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Cognition raises over $1 billion in funding for Devin AI software. Valuation reported around $25–26 billion in the round.
Cognition’s $1B funding surge
AI coding startup Cognition raised more than $1 billion at a $25 billion pre-money valuation, according to TechCrunch, and the company said the round is a major leap from its $10.2 billion post-money valuation when it closed a $400 million funding round in September. Cognition’s autonomous AI software engineer is named Devin, and TechCrunch reported that the round was led by Lux Capital and General Catalyst with existing investors including Founders Fund and 8VC.
The company also said it counts customers including Mercedes-Benz, NASA, Goldman Sachs and Santander, and it reported that corporate use of Devin has risen 50 percent each month over the past 6 months. Digital Today added that the annualised revenue is about $492 million and that Cognition acquired the remaining assets of Windsurf, which it said was effectively acquired by Google last year.
Valuation doubles, usage grows
The Decoder said Cognition more than doubled its valuation to $26 billion in under nine months, after raising over $1 billion at a valuation north of $26 billion. The Decoder reported that Cognition has $492 million in annualized revenue and tenfold enterprise usage growth this year, and it listed clients including Citi, Mercedes-Benz, Goldman Sachs, Dell, and the U.S. military.
The Decoder also said that internally, 89 percent of the company's code is now written by Devin, and it noted that SWE-Agent is an open-source alternative to Devin. In parallel, The Economic Times said Cognition’s revenue run rate increased to $492 million from $37 million last May and quoted co-founder and chief executive officer Scott Wu saying, “working with the combination of models is actually much better than having to rely on any single model,”.
Windsurf deal and robotics
Cognition’s funding story is tied to its Windsurf acquisition, with Digital Today saying it acquired the remaining assets of Windsurf and The Economic Times describing that Cognition agreed to buy the remains of coding startup Windsurf after Alphabet’s Google struck a $2.4 billion deal for Windsurf’s top talent and licensing rights. Boursorama said the deal with Google followed a $2.4 billion agreement and reported that Windsurf brings with it $82 million in annual recurring revenue and a customer base of more than 350 companies, even though it said the financial terms of Cognition’s acquisition were not disclosed.
Boursorama also reported that in an email to employees, Jeff Wang, Windsurf's interim CEO, wrote that “among all teams working in AI, Cognition was the one they respected most and was perfectly suited to move Windsurf to the next phase.” Outside coding agents, Actu IA reported that NEURA Robotics, founded in 2019 in Metzingen near Stuttgart by David Reger, announced the closing of a $55 million financing round led by Lingotto, Vsquared Ventures, Primepulse and HV Capital to expand into the United States and Japan.