Swedish vibe-coding startup Lovable is in talks to raise $300 million at a valuation of $13.2 billion — exactly double the $6.6 billion valuation the company achieved last December, Sifted reported on July 8, 2026. Menlo Ventures, a firm that announced its latest $3 billion fund last month, is expected to lead the round, according to the report.
The less-than-three-year-old startup hit $500 million in annualized revenue run rate in June, underscoring the rapid commercial adoption of AI-powered software development tools. Lovable’s users include founders, individual designers, and salespeople building websites and e-commerce storefronts. The company also sells its vibe-coding tool to large enterprises, including Workday, Asana, and Nvidia.
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Vibe coding becomes the most lucrative AI use case
Vibe coding, which allows users to build software simply by describing it, has emerged as the most popular and lucrative use case for AI. Other high-profile startups in the space include Replit, valued at $9 billion in March, and Factory, a startup that helps enterprises develop AI agents, which raised $150 million at a $1.5 billion valuation in April. Meanwhile, Cursor, which offers vibe coding for developers, was acquired by SpaceX for $60 billion last month.
Lovable’s rapid growth reflects a broader trend of enterprise adoption of no-code and low-code AI tools, as companies seek to accelerate software development without requiring specialized engineering talent.
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Frequently Asked Questions
What is vibe coding?
Vibe coding is a method of building software by describing what you want in natural language, rather than writing code manually. It allows non-developers like founders and designers to create websites and apps using AI.
Who is leading the investment round for Lovable?
According to a report from Sifted, Menlo Ventures is expected to lead the $300 million funding round. Menlo Ventures recently announced a new $3 billion fund in June 2026.
How does Lovable’s valuation compare to other vibe-coding startups?
Lovable’s reported $13.2 billion valuation is significantly higher than competitors. Replit was valued at $9 billion in March 2026, and Factory raised funds at a $1.5 billion valuation in April 2026. Cursor, another player, was acquired by SpaceX for $60 billion in June 2026.
Who are Lovable’s main customers?
Lovable’s user base includes founders, individual designers, and salespeople who use the tool to build websites and e-commerce storefronts. The company also serves large enterprises, with customers including Workday, Asana, and Nvidia.