Cognition Eyes $40B in New Talks — Devin Revenue Has Nearly Doubled Since Its $26B Close Three Months Ago
Cognition AI is in early-stage talks for a new funding round that could value the company at $40 billion or more — barely three months after closing at $26 billion, Bloomberg reported Wednesday.
The round under discussion would exceed $1 billion. Cognition’s annualized revenue is approaching $1 billion, implying roughly 103% growth from the $492 million ARR disclosed in May. The implied valuation multiple: around 40x run-rate revenue.
The Revenue Trajectory
The jump from $492 million to near-$1 billion ARR in under 90 days is the number that explains why investors are moving. Cognition also reported 50% month-over-month enterprise usage growth for Devin over the six months leading to the May close. If that pace held — even partially — the $1 billion ARR figure has a plausible path.
Enterprise AI ARR tends to be front-loaded with commitment spend, but Cognition has disclosed production deployments at Goldman Sachs and Mercedes-Benz. At this scale, at least some of those commitments are converting to sustained usage.
The Competitive Context
The urgency on both sides of the table is driven by a market that is moving. In the three months since Cognition’s May close, Claude Code has become the dominant coding agent in enterprise — 80% of production code at Anthropic is now written by Claude Code itself, and the platform controls the startup coding market in a way Cursor no longer does. OpenAI’s Codex has been merged into the ChatGPT desktop app and opened to all enterprise engineers at companies like Amazon.
Devin’s positioning as a model-agnostic agent infrastructure layer — routing tasks across OpenAI and Anthropic rather than betting on one LLM — becomes more valuable in a world where the underlying model market is fragmenting and customers don’t want to reprocure when foundation model rankings shift.
What 40x Revenue Buys
A $40 billion valuation at $1 billion ARR puts Cognition at the same revenue multiple as Cursor ($50 billion at $2 billion ARR) and slightly above Blitzy ($1.5 billion at $35 million ARR, which is a very different profile). At these multiples, the bet being priced is not current revenue — it is that the total addressable market for autonomous software agents is large enough to support a market cap of a very different order in a five-year window.
That argument has a track record behind it: Devin moved from $37 million ARR to $492 million in one year. If it moved from $492 million to near $1 billion in three months, the slope has steepened significantly, not flattened.
The round is in early talks. Nothing has closed.