The AI startup replacing software engineers just raised $1B at $26B valuation and it is already writing 89% of Cognition's own code — TFN

Cognition has raised over $1 billion in a Series D at a $26 billion valuation, led by Lux Capital, General Catalyst, and 8VC

Enterprise usage of its AI software engineer Devin has grown more than 10x in 2026, with annualised run-rate revenue hitting $492 million

89% of code committed by Cognition’s own engineers is now written by Devin – the clearest signal yet that AI-native development is no longer theoretical

Mercedes-Benz needed eight months to modernise a legacy system. Devin did it in eight days. That single data point tells you more about where software engineering is heading than any funding announcement could.

Cognition, the San Francisco-based AI agent lab founded in November 2023 by Scott Wu (CEO), Steven Hao (CTO), and Walden Yan (CPO), has raised over $1 billion in Series D funding at a $26 billion valuation. The round was led by Lux Capital, General Catalyst, and 8VC, with participation from returning investors Founders Fund, Elad Gil, Alpha Wave, Bain Capital Ventures, Vitruvian, Definition Capital, Conversion Capital, and 137 Ventures, alongside new backers Ribbit Capital, Atreides, and Layer Global. The raise is a sharp step up from the company’s $400M round at a $10.2B valuation in September 2025, and from the $500M raise that followed its Windsurf acquisition just months later.