Cognition reportedly in talks to raise at a $40 billion valuation

Cognition, the maker of AI coding agent Devin, is reportedly in early talks with investors for a new funding round that could value the startup at $40 billion or more.

That would nearly double the $26 billion valuation set in its $1 billion Series D just three months earlier, in May 2026 — a pace that captures how fast money is chasing autonomous coding tools.

Fueling the talks is revenue. Cognition’s annualized run rate has reportedly grown to roughly $1 billion, up from $492 million at the time of the May round, according to people familiar with the numbers.

Chief executive Scott Wu has framed Devin as a tool for the ‘long-tail grunt work’ of software, such as modernizing legacy code and migrating platforms, rather than a replacement for human engineers. Cited enterprise customers include Mercedes-Benz, NASA and Goldman Sachs.

The talks are unconfirmed and early. The round’s size, its terms and whether Cognition proceeds at all are not settled, and the company has not commented publicly. A $40 billion tag would rest on investor appetite that has proven volatile.

Either way, the reported number signals how richly the market values agents that write and fix code, a category where revenue and valuations have climbed faster than almost any other corner of AI.