AI coding startup Cognition has secured nearly $500 million in a new financing round. The deal brings the company’s valuation to $9.8 billion, more than double the level earlier this year, said a person familiar with the deal. Peter Thiel’s Founders Fund, an existing backer, is the lead investor in the round, several people said. Cognition declined to comment. Earlier this week, the company filed a document with the State of Delaware noting the issuance of new Series C preferred shares at a price of $55.20 each, compared with $23.10 each for a previous series of shares. Forbes had earlier reported that the Silicon Valley company was raising a smaller financing. The investment comes on the heels of Cognition’s acquisition of Windsurf, another AI coding startup. That deal took place soon after Windsurf’s founders and part of the team joined Google in a $2.4 billion deal that also included licensing Windsurf’s technology. Cognition is active in one of the most competitive segments of the generative AI market—software code generation. The startup’s main product is Devin, which it calls “the AI software engineer,” or an artificial intelligence tool that can autonomously write computer code. Cognition has signed on clients such as Goldman Sachs, Ramp, Nubank and Bilt. Customers use the technology to speed up software development.

Full report : AI coding startup Cognition raised nearly $500 million led by Founders Fund, bringing its valuation to $9.8 billion, more than double the level earlier this year.