One of Vibe-Coding’s world’s beloved figures and one of Europe’s fastest-growing AI startups, Lovable is committed to raising more than $150 million at a valuation of nearly $2 billion, according to the Financial Times.
The salary increases and huge step-ups in valuation come just a few months after the Swedish startup raised a $15 million round led by Creandum in February. The company described the round as “PreSeries A” to TechCrunch, but with the numbers so large, it’s safe to say that Lovable jumped from seed rounds to price growth rounds, no matter what the serial alphabet labels might be. Accel is said to be leading this new pay raise, with others taking part in by Creandum and 20VC.
The company was founded in 2023, technically two years ago, but in late November it released a web app-building product. In May, adorable CEO Anton Osica tweeted his adorable $50 million hit in ARR in six months.
Lovable builds the entire web app from the initial text prompt that includes a user interface/frontend (often via the popular UX coding tool React), like a competitor’s replica or vault, and connects to a database like Supabase. Some users say it’s affordable starting at $25 a month with 250 “credits.” One Reddit user documented an app with over 29,000 lines of code and numerous features built with $250.
On Monday, Lovable announced it was releasing a beta version of an AI agent that can automate more tasks such as editing code after reading and debugging project files. Lovable is billed in a usage-based model for this. The more agents are asked to do it, the more credits you will be charged.
When users hand over app management to agents, users’ fees can increase, but this pricing model is becoming the agent’s default business model. This is because AI startups themselves will have to pay variable fees to model providers like Openai and humanity. Thus, such a business model strategy will make investors happy.
Accel, 20vc, and Lovable did not respond to requests for comment.
