Replit Valuation: $3B on $150M ARR

Replit Secures $250 Million Funding, Tripling Valuation

Replit, the collaborative browser-based IDE, has successfully completed a $250 million funding round. This new investment brings the company’s valuation to $3 billion.

Notably, Replit’s fundraising approach differs from some of its rapidly expanding competitors. While many seek frequent venture capital injections, Replit maintained a longer interval between raises.

Recent Financial Growth

The company’s previous funding round occurred in 2023, securing approximately $100 million at a post-money valuation of $1.16 billion. To date, Replit has accumulated roughly $478 million in total funding, according to PitchBook estimates.

Replit reports substantial revenue growth, experiencing a dramatic increase from an annualized revenue of $2.8 million to $150 million within a single year.

This figure represents a significant jump from the $100 million Annual Recurring Revenue (ARR) reported in June, as shared by founder Amjad Masad on social media.

Investment Details

Prysm Capital spearheaded the latest funding round. Additional participation came from Amex Ventures and Google’s AI Futures Fund.

Existing investors, including Y Combinator, Craft (led by David Sacks), Andreessen Horowitz, Coatue, and Paul Graham, also contributed to this round.

Strategic Partnerships

Google’s investment aligns with the existing close relationship between Replit and Google Cloud. Applications developed using Replit are frequently hosted on Google’s cloud infrastructure.

However, Replit’s growing popularity has broadened its reach. Microsoft has also recognized its value, offering Replit as a deployment option within the Azure ecosystem since July.

The company was established in 2016 by Amjad Masad, Faris Masad, and Haya Odeh, all of whom are programmers and designers.