Swedish AI Startup Lovable Raises $200M at $1.8B Valuation

Swedish AI startup Lovable Labs Inc. has rapidly become a unicorn, securing $200 million in a Series A funding round led by Accel, valuing the company at $1.8 billion. Founded in 2023, Lovable offers an innovative "vibe coding" platform that allows users, including non-technical individuals, to build apps and websites using natural language prompts, significantly accelerating software development. The platform has attracted over 2.3 million active users, with 180,000 paying subscribers, generating $75 million in annual recurring revenue within seven months. Lovable's growth is supported by participation from notable investors and angel backers, with the company planning to expand its 45-member team and diversify its product offerings to enable more complex applications. Major clients such as Klarna, HubSpot, and Photoroom have adopted the platform, underscoring its potential to transform software creation beyond traditional coding. This funding round marks Sweden's largest ever Series A and reflects the growing investor confidence in AI-driven software development tools in Europe.