Sweden’s Lovable Reaches $400 Million in Annual Recurring Revenue as AI Coding Tools Gain Momentum

Lovable, the Swedish company specializing in AI-powered software development tools, has reported annual recurring revenue (ARR) of $400 million, up from $300 million just a month earlier, highlighting the accelerating demand for artificial intelligence–driven programming platforms.

The company’s platform relies on a development approach known as “vibe coding,” which allows users to build applications using text-based instructions instead of traditional programming code.

This model has helped the platform attract more than 15 million daily active users, while enabling the creation of roughly 200,000 new projects every day.

Lovable recently secured a new round of funding that valued the company at $6.6 billion. The investment round was led by CapitalG, the growth fund backed by Google, along with Menlo Ventures.

The company’s tools are also being integrated with advanced AI models such as Claude Code developed by Anthropic, enabling developers to automate software creation using generative AI capabilities.

The rapid growth of Lovable highlights a broader shift within the global software industry, where AI-assisted coding platforms are emerging as one of the fastest-growing segments in the technology sector.