Codeium Nears $3B Valuation in New Funding Round, Sources Say
Codeium, an AI-driven coding platform, is securing a new funding round at a $2.85 billion valuation, including new capital, according to two informed sources.
Kleiner Perkins, a prior investor, is leading the round, the sources confirmed.
This follows Codeium’s $150 million Series C at a $1.25 billion valuation six months ago, led by General Catalyst with Kleiner Perkins and Greenoaks. The new funding amount remains unverified by TechCrunch.
Codeium and Kleiner Perkins did not respond to inquiries.
The company’s annualized recurring revenue (ARR) is approximately $40 million, one source noted, giving Codeium a valuation of about 70 times ARR, significantly higher than other AI coding platforms.
Last month, Anysphere, creator of AI coding assistant Cursor, raised funds at a $2.5 billion valuation. With $100 million in revenue, it secured a 25 times ARR valuation multiple.
Codeium competes with Anysphere, Poolside, Magic, Microsoft’s GitHub Copilot, and others, with Anysphere often viewed as the category leader.
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Though unclear how Codeium achieved its high valuation, sources told TechCrunch the company wasn’t seeking funds until investors initiated this round.
Codeium sets itself apart by focusing on enterprises rather than individual developers. Last summer, it reported over 1,000 enterprise users, including Anduril, Zillow, and Dell, on its free tier.
In November, Codeium launched Windsurf Editor, enabling code generation without human input, known as agentic AI or “agent mode,” a feature also offered by competitors like Cursor.
Founded in 2021 by Varun Mohan and MIT classmate Douglas Chen, Codeium emerged after Chen worked on VR software at Meta and Mohan led autonomy infrastructure at Nuro.
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Codeium, an AI-driven coding platform, is securing a new funding round at a $2.85 billion valuation, including new capital, according to two informed sources.
Kleiner Perkins, a prior investor, is leading the round, the sources confirmed.
This follows Codeium’s $150 million Series C at a $1.25 billion valuation six months ago, led by General Catalyst with Kleiner Perkins and Greenoaks. The new funding amount remains unverified by TechCrunch.
Codeium and Kleiner Perkins did not respond to inquiries.
The company’s annualized recurring revenue (ARR) is approximately $40 million, one source noted, giving Codeium a valuation of about 70 times ARR, significantly higher than other AI coding platforms.
Last month, Anysphere, creator of AI coding assistant Cursor, raised funds at a $2.5 billion valuation. With $100 million in revenue, it secured a 25 times ARR valuation multiple.
Codeium competes with Anysphere, Poolside, Magic, Microsoft’s GitHub Copilot, and others, with Anysphere often viewed as the category leader.
Save $450 on Your TechCrunch All Stage Pass
Innovate smarter. Grow faster. Network deeper. Join leaders from Precursor Ventures, NEA, Index Ventures, Underscore VC, and more for strategies, workshops, and valuable connections.
Save Over $200 on Your TechCrunch All Stage Pass
Innovate smarter. Grow faster. Network deeper. Join leaders from Precursor Ventures, NEA, Index Ventures, Underscore VC, and more for strategies, workshops, and valuable connections.
Though unclear how Codeium achieved its high valuation, sources told TechCrunch the company wasn’t seeking funds until investors initiated this round.
Codeium sets itself apart by focusing on enterprises rather than individual developers. Last summer, it reported over 1,000 enterprise users, including Anduril, Zillow, and Dell, on its free tier.
In November, Codeium launched Windsurf Editor, enabling code generation without human input, known as agentic AI or “agent mode,” a feature also offered by competitors like Cursor.
Founded in 2021 by Varun Mohan and MIT classmate Douglas Chen, Codeium emerged after Chen worked on VR software at Meta and Mohan led autonomy infrastructure at Nuro.
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