Cognition AI, the startup behind the AI coding agent Devin, has raised $400 million at a $10.2 billion valuation. The deal, led by Founders Fund with backing from Lux Capital, 8VC, Elad Gil, Definition Capital, and Swish Ventures, marks a steep climb from Cognition’s $4 billion valuation earlier this year.
- Cognition AI raised $400M at a $10.2B valuation
- Devin grew from $1M ARR in 2024 to $73M by mid-2025
- Acquisition of Windsurf doubled revenue and boosted growth
The funding highlights investor confidence in AI coding agents at a time when software automation is drawing major bets. Cognition’s ARR from Devin went from about $1 million last September to $73 million in June, before doubling again through its acquisition of Windsurf this summer. That deal gave Cognition both a coding agent and an IDE business, letting it pitch a full-stack AI development suite.
Chris McKay
The Windsurf acquisition also turned heads in Silicon Valley. Google had already licensed Windsurf’s tech in a $2.4 billion deal while hiring away much of its top team. Cognition stepped in to buy what was left, and in the two months since, the combined company says enterprise ARR is up more than 30%. Customers now include Goldman Sachs, Citi, Dell, Cisco, Palantir, and Nubank.
Despite the rapid scale-up, Cognition says it has burned less than $20 million since its founding in 2023. With this new capital, the company plans to expand its engineering team and accelerate product development. The bet is that AI coding agents will move from experimental tools to core enterprise software in the next few years, putting Cognition in direct competition with giants like Google, Microsoft, and Amazon.
For now, Cognition’s story is a familiar one in the AI boom: big valuation jumps, strong early adoption, and a race to define the category before incumbents catch up.