Cognition, the company behind AI coding agent Devin, is reportedly in talks with investors about another funding round that could value the startup at at least $40 billion. The discussions come less than three months after Cognition raised more than $1 billion at a $26 billion valuation.
Bloomberg reported that the higher valuation could depend on Cognition reaching a $1 billion annualized revenue run rate. The company has not announced a new round, and the discussions could still change before any financing is completed.
Revenue Has Risen Rapidly
Cognition said in its May funding announcement that annualized revenue had reached $492 million, up sharply as enterprise adoption of Devin increased. The company also said enterprise usage had grown more than tenfold since the start of 2026.
That May round was led by Lux Capital, General Catalyst, and 8VC, with participation from existing and new investors. Cognition said the financing valued the company at $26 billion, more than double the $10.2 billion valuation it reached in September 2025.
Cognition’s customers include Mercedes-Benz, Goldman Sachs, Citi, Dell, Santander, the US Army, and the US Navy. The company said Mercedes-Benz used Devin to reduce an eight-month legacy software modernization project to eight days, while Itaú uses the agent to automatically fix 70% of identified security vulnerabilities.
Devin Focuses on Long-Running Engineering Work
CEO Scott Wu has said Cognition does not position Devin as a direct replacement for human software engineers. Instead, companies often use the agent for repetitive or long-running tasks such as modernizing older software, moving applications between platforms, fixing vulnerabilities, and handling backlog work.
Cognition describes Devin as an autonomous cloud software engineering agent that can take on coding tasks while human engineers review its work. In May, the company said 89% of code committed by its own engineers was being committed by Devin, with the remainder handled by local agents inside Windsurf.
The potential $40 billion valuation would represent another large increase for Cognition within a matter of months. The company was valued at $10.2 billion in September 2025 before rising to $26 billion in May 2026, while its reported revenue run rate grew from $37 million in May 2025 to $492 million a year later.
Featured image credits: eesel AI
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