Cognition, the company behind the coding assistant Devin, has announced a $2 billion funding round, elevating its valuation to $48 billion. This investment, led by Andreessen Horowitz, Accel, Founders Fund, General Catalyst, and Avenir, follows a previous fundraise four months ago when the company was valued at $26 billion.
The startup's annualized run-rate revenue has grown from $492 million to $900 million since its last fundraise in May. Cognition leases an Nvidia server cluster, which reportedly costs hundreds of millions of dollars annually, potentially pushing its total cash burn to $800 million this year.
Cognition is training its own model based on open-source alternatives, aiming to reduce its reliance on expensive third-party models from OpenAI and Anthropic. This strategy is intended to help cut costs and move the company closer to breaking even.
Founded in 2024 by Scott Wu, Cognition's enterprise customers include Mercedes-Benz, NASA, Goldman Sachs, and Citi. The company is expected to achieve $4 billion to $5 billion in annualized revenue by the end of 2026, according to The Information.