AI startup Lovable, based in Stockholm, has rapidly grown to a $6.6 billion valuation, making co-founder Fabian Hedin one of Europe’s youngest self-made billionaires thanks to their accessible “Vibe Coding” tool that allows anyone to build websites and apps with simple prompts. The company’s explosive growth and focus on non-coders have set it apart in the competitive AI coding market, attracting major investment and millions of users in less than a year.
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AI startup Lovable has just created one of Europe’s youngest ever self-made billionaires after a major funding round tripled its valuation to $6.6 billion in less than six months. The Stockholm-based company, known for its “Vibe Coding” tool, raised $330 million in a round led by CapitalG and Menlo Ventures, with participation from Kasa Ventures, Accel, and EQT. This brings Lovable’s total funding to $550 million. Forbes estimates that co-founders Anton Osika (age 35) and Fabian Hedin (age 26) each hold a 24% stake in the company, making their net worths approximately $1.6 billion each.
Fabian Hedin’s new billionaire status makes him one of Europe’s youngest self-made billionaires, just a few months behind Arvid Lunamar, co-founder of AI coding tool Cursor, who reached billionaire status at age 26. Hedin is now one of only 13 self-made billionaires worldwide under the age of 30. Both Osika and Hedin have pledged to donate 50% of their earnings from any future exit to charity, aiming to ensure that the transition to superintelligent AI benefits humanity.
Lovable’s AI coding tool allows anyone to build websites and apps simply by writing a prompt, making coding accessible to non-programmers. Osika founded the company in 2023 after an AI coding tool he developed in his spare time quickly became popular on GitHub. He then recruited Hedin as co-founder and CTO, and they secured $8 million in seed funding from Hummingbird Ventures in October 2023. The “Vibe Coding” tool officially launched in November 2024.
The company’s growth has been explosive. By last month, Lovable had 8 million active users, up from 2.3 million in July, and was generating around $1 million a day in subscription revenue. Lovable reached $100 million in annualized subscription revenue within eight months of launch, outpacing other fast-growing startups like Wiz and Deel. Its direct competitor, Replit, reached $150 million in annualized revenue within a year of launching its own AI coding tool.
The AI coding tool market is highly competitive, with companies like Cursor, Cognition, Replit, StackBlitz, Figma, Squarespace, Wix, Google, OpenAI, and Anthropic all developing similar products. However, Lovable differentiates itself by targeting non-coders, a potentially much larger user base than professional programmers. Despite fierce competition and major acquisitions in the space, Lovable’s rapid growth and focus on accessibility have set it apart as a leader in the new era of AI-powered software development.