❯ Lovable raises $400M Series C, valuation doubles to $13.3B in seven months

DOUBLEVibe-coding platform Lovable has closed a $400 million Series C at a post-money valuation of $13.3 billion, doubling from $6.6 billion last December in seven months. The round was co-led by Menlo Ventures and EU investment vehicle Scaleup Europe Fund (managed by EQT), with Tencent and other new investors from Asia and Latin America participating.

REVENUEThe revenue curve backs up the valuation: the company says annual recurring revenue has nearly tripled from $200 million and will approach $600 million by the end of August. The Stockholm-based company only launched in November 2024, and the platform has surpassed 60 million cumulative built projects. The product logic: describe a requirement in natural language and it directly generates runnable software.

GEOPOLITICSEU capital co-leading a European AI company is itself signal-bearing — outside the US and China, Europe has for the first time produced a double-digit-billion-dollar sample in the generative application layer, and it did so with industrial-policy capital rather than pure market capital.

VALUATIONAt $600 million in annual recurring revenue, the $13.3 billion valuation implies roughly a 22x price-to-sales ratio — not unreasonable for the AI application layer, provided this nearly-3x growth curve does not turn. What deserves a fresh look is the per-customer revenue assumption for software development tools: when non-developers can also produce deliverable software, the boundary of the paying base shifts with it.

▪ SIGNALA 22x price-to-sales multiple is not a bet that the tool is good; it’s a bet that the number of people writing software grows by an order of magnitude.