Software Development

AI startup Lovable is raising $150M at a $2B valuation

Ken Metral

02 Jul 2025 — 2 min read

Credit: Lovable

Swedish AI startup Lovable, a standout in the rapidly growing world of “vibe coding,” is reportedly raising over $150 million in fresh funding at a valuation nearing $2 billion, according to the Financial Times. This marks a dramatic leap from just a few months ago, when the company closed a $15 million pre-Series A round led by Creandum in February.

While only founded in 2023, Lovable’s growth has been nothing short of explosive. It officially launched its web app-building platform in November 2024, and within six months, the company reached $50 million in annual recurring revenue (ARR) — a milestone Lovable CEO Anton Osika shared on Twitter in May.

From Pre-Seed to Powerhouse

Lovable is part of a new generation of AI-first developer tools that allow users to build fully functional web applications from a simple text prompt. The platform generates front-end code (often in React), links to back-end databases like Supabase, and produces production-grade apps with surprising speed and scale. It has drawn comparisons to platforms like Replit and Bolt, but Lovable has differentiated itself with a focus on usability and developer experience — often described by fans as having “vibes.”

Pricing starts at $25 per month for 250 credits, and user anecdotes underscore the tool’s value. One Reddit user claimed to have built an app with over 29,000 lines of code for just $250, showing that Lovable isn’t just a novelty — it’s replacing real dev hours at scale.

Automation and Agentic AI

Earlier this week, Lovable unveiled the beta version of a new AI agent, capable of reading project files, editing code, and debugging autonomously. The company is adopting a usage-based pricing model for the agent — in line with a broader trend in AI tooling. As startups like Lovable rely on providers such as OpenAI or Anthropic, the cost of running models must be passed on to end-users in a scalable way.

While this model could lead to higher user costs, especially for teams offloading entire app maintenance workflows to agents, it also aligns investor interests: predictable revenue, variable margins, and recurring usage. It’s a smart bet in a space where infrastructure costs can quickly balloon.

What's Next?

Accel is reportedly leading the upcoming round, with continued participation from Creandum and other notable names like 20VC. If the round closes as expected, Lovable will be well capitalized to compete — and potentially dominate — in a space that’s drawing increasing attention from both developers and venture capitalists.

For a two-year-old company to go from launch to unicorn status in under 24 months is rare. Lovable’s rise signals that AI-native developer platforms are more than a trend — they’re a paradigm shift in software creation.

And if $50M ARR in six months is just the beginning, the real story of Lovable might be yet to unfold.

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