AI software developer Replit raises $250 million at $3 billion valuation

Core Insights - Replit has raised $250 million in a funding round, bringing its valuation to $3 billion, reflecting strong investor interest in AI startups [1][2] - The company's annualized revenue surged to $150 million from $2.8 million in less than a year, indicating significant growth [2] - The funding round was led by Prysm Capital, with participation from Google's AI Futures Fund and Amex Ventures, alongside existing investors like Andreessen Horowitz and Coatue [2] Company Developments - Replit launched Agent 3, an autonomous tool designed to test and fix code, as well as build custom agents and workflows [3] - The company was previously valued at just over $1 billion in 2023 after raising $97.4 million [2] - Other companies, such as Duolingo and Zillow, utilize Replit's platform to develop applications [3] Industry Context - The valuation of code-generation firms has increased as businesses seek to leverage AI to assist or replace human software engineers [1] - Cursor, another code-generation startup, raised $900 million at a $10 billion valuation, highlighting the competitive landscape in the AI-driven software development sector [3]