\n<\/p>\n
Investor interest in AI coding assistants is exploding.<\/p>\n
Anysphere, the developer of AI-powered coding assistant Cursor, is in talks with venture capitalists to raise capital at a valuation of nearly $10 billion, Bloomberg reported<\/a>.<\/p>\n The round, if it transpires, would come about three months after Anysphere completed its previous fundraise of $100 million at a pre-money valuation of $2.5 billion<\/a>, as TechCrunch was first to report. The new round is expected to be led by returning investor Thrive Capital.<\/p>\n Thrive Capital and Anysphere didn\u2019t immediately respond to a request for comment.<\/p>\n While Anysphere\u2019s previous round valued the company at 25 times its $100 million ARR (per The New York Times<\/a>), investors seem to be willing to value fast-growing companies at even higher multiples now. Anysphere\u2019s current annualized recurring revenue (ARR)\u00a0may have already climbed to $150 million, The Information reported<\/a>, which means the new deal, should it happen would be a whopping 66 times ARR.<\/p>\n Anysphere isn\u2019t the only company receiving such a high valuation from investors.<\/p>\n Codeium, a company behind AI coding editor Windsurf, is raising capital at a valuation of nearly $3 billion, TechCrunch reported<\/a> last month. Kleiner Perkins, which is leading the round into Codeium, valued the company at about 70 times ARR of about $40 million.<\/p>\n AI is adapting fastest in coding tools, outpacing its use in sales, law, healthcare, and other sectors, according to investors.<\/p>\n In recent weeks, investors have been approaching Poolside, another AI-powered coding company that is also developing its own LLM, sources tell TechCrunch and The Information. Poolside didn\u2019t immediately respond to a request for comment.\u00a0<\/p>\n<\/div>\n