Swedish generative coding startup Lovable is reportedly in talks to raise a new funding round at a valuation of up to $12 billion, according to reports. If completed at this level, the deal would double the company’s valuation from its previous round in December, when it was valued at $6.6 billion after raising $330 million.
The discussions are still ongoing, and company representatives have confirmed that no final terms have been agreed, meaning the valuation could change before the round closes.
Lovable has emerged as one of the fastest-growing players in the generative coding space, reporting over $400 million in annual recurring revenue within months of rapid expansion. The company reached $100 million in annual revenue in just eight months after launch, highlighting the strong demand for AI-driven software development tools.
Founded in 2024 by physicist and former CERN researcher Anton Osika, Lovable gained early attention following the success of its predecessor tool “GPT Engineer,” which went viral on GitHub for its ability to generate complete codebases from simple prompts.
The platform currently serves around 8 million users, ranging from hobbyists and independent developers to startups and enterprises. While companies such as Uber, HubSpot, and Microsoft reportedly use its tools, enterprise revenue remains a smaller portion of its overall business.
Lovable is part of a rapidly expanding generative coding ecosystem that includes competitors such as Replit and Cognition, while larger AI players like Anthropic continue to dominate the broader frontier AI space. OpenAI also competes in the segment through its own coding tools, including Codex.
To scale its enterprise capabilities, Lovable recently signed a multi-year agreement with Google Cloud, leveraging its infrastructure and AI models such as Gemini to expand performance and reliability for business customers.
As investor interest in AI-powered development tools continues to surge, Lovable’s potential valuation jump reflects broader market enthusiasm for platforms that simplify software creation and accelerate coding workflows across industries.
