Cognition, the startup behind coding assistant Devin, announced in September 2026 that it raised $2 billion at a $48 billion valuation. The round was led by Andreessen Horowitz, Accel, Founders Fund, General Catalyst, and Avenir — and comes just four months after the company raised at a $26 billion valuation.
Since that prior fundraise in May, Cognition’s annualized run-rate revenue has grown from $492 million to $900 million. The company is projected to reach $4 billion to $5 billion in annualized revenue by the end of 2026, according to The Information.
The new valuation gives Cognition a higher revenue multiple than rival Cursor carried before its sale to SpaceX. Cursor had been in talks to raise at a $50 billion valuation when its annualized revenue had surpassed $2 billion; it ultimately sold to SpaceX for $60 billion in April, largely due to compute constraints. Cognition’s current revenue multiple exceeds what Cursor commanded at that time.
Cognition is not without its own cost pressures. The company leases an Nvidia server cluster costing hundreds of millions of dollars annually, which could push its total cash burn to $800 million this year, The Information reported. Like Cursor before its acquisition, Cognition is training its own model based on open-source alternatives, a move that could reduce its reliance on costly third-party models from OpenAI and Anthropic over time.
The round signals that investors see room for multiple major players in AI coding rather than a single dominant winner. Notably, Andreessen Horowitz — which backed Cursor and benefited from its SpaceX sale — is now leading a round in a direct Cursor competitor.
Cognition was founded in 2024 by Scott Wu and counts Mercedes-Benz, NASA, Goldman Sachs, and Citi among its enterprise customers.
Source: TechCrunch