Swedish AI-assisted coding software company Lovable announced it has doubled its annual recurring revenue (ARR) to $200 million. Co-founder and CEO Anton Osika revealed the milestone at the 2025 Slush technology conference in Helsinki, Finland. This achievement follows the company surpassing $100 million in ARR just four months prior, in July.
Osika attributed the rapid growth to Lovable's strategic decision to maintain its operations in Europe, specifically Stockholm, rather than relocating to Silicon Valley. He stated that this approach, taken despite early advice suggesting a U.S. move was necessary for success, allowed the firm to leverage a strong mission and collective urgency to attract available talent. Osika also indicated that the AI market in Europe, characterized by a less high-paced environment compared to Silicon Valley, has contributed to the company's benefit.
Investor Zhenya Loginov, a partner at Accel, affirmed Lovable's strategy, noting the company "flipped the script" by successfully attracting talent from established Silicon Valley companies, including Notion and Gusto, to work in-person in Stockholm. Osika further stated that the company's open-source community has been instrumental in the continuous improvement of its technology, citing active community engagement in ongoing debates and contributions.
Lovable, founded a year ago, has secured over $225 million in venture funding. This includes a $200 million Series A round in July, which involved Accel and more than 20 other investors, valuing the company at $1.8 billion. The company's growth coincides with increased venture capital investment and user traction in the "vibe coding" sector. Last week, AI-coding assistant Cursor also raised $2.3 billion in a new funding round that valued the company at $29.3 billion, with Accel participating in that round as well.
