Replit lands $250M funding to advance AI app builder, now valued at $3B

Replit Raises $250M at $3 Billion Valuation to Expand AI-Powered App Builder

Replit Inc., a startup focused on speeding up software development with AI, has secured $250 million in new funding. The round was led by Prysm Capital, with participation from investors including Google’s AI Futures fund, Y Combinator, and Coatue. This latest investment values Replit at $3 billion.

The company’s platform allows users to build applications through a chatbot-like interface by simply entering prompts. For example, sales teams can create tools that prioritize leads based on their conversion potential, while support teams can develop knowledge bases that answer common customer questions.

How Replit’s AI Application Builder Works

Replit’s AI generates applications in two main phases. First, it produces a basic prototype within about 10 minutes. Then, users provide feedback or request changes, which the system uses to create a production-ready version.

Previously, the AI engine took up to 20 minutes to finalize applications. Now, with the launch of Agent3, Replit’s upgraded AI engine, it can run 10 times longer. This extra processing time improves the quality and reliability of the apps it builds.

New Features in Agent3

• Custom Automation Tools: Teams can build chatbots that pull data from external sources, like marketing teams fetching ad performance stats.
• App Testing Mode: Agent3 automatically tests apps by simulating user interactions in a browser to detect bugs and fix them without user intervention.
• Security Checks: The platform scans for code vulnerabilities and insecurely stored secrets such as login credentials, offering encrypted secret storage.

Flexible Plans for Different Needs

Replit offers a free version and three paid tiers, each adding more features. The Enterprise plan includes centralized account management, single sign-on support, and "Viewer Seats" for read-only access to applications—features valuable for larger teams and organizations.

Strong Growth and Notable Customers

The company reported $150 million in annualized revenue, a significant jump from $2.8 million a year earlier. Its customer base features major tech firms like Anthropic PBC, Coinbase, and Zillow Group.

Replit plans to use the new funding to add features and accelerate market growth. For developers and teams looking to accelerate application creation with AI, Replit’s platform is an option worth watching.

For professionals interested in AI development tools and training, resources like Complete AI Training offer courses covering automation, prompt engineering, and AI application development.