AI text coding startup StackBlitz is in discussions for a new round of financing with a valuation of $700 million.

The CEO of the artificial intelligence text encoding startup StackBlitz, Eric Simons, has announced that the company is in final negotiations with investors to secure funding at a valuation of $700 million. Eric Simons stated that the company will raise $83.5 million in a deal led by Emergence Capital and GV (formerly Google Ventures), with participation from Madrona Venture Group, Conviction, and Mantis. Additionally, PitchBook data shows that StackBlitz's other investors include Flex Capital, Greylock Partners, and Tribe Capital. Established in 2017, StackBlitz is a web development software startup that has recently found its niche with the launch of its new artificial intelligence product, Bolt.new. Bolt.new is a platform that utilizes AI to help build websites. Eric Simons mentioned that the platform was launched in October last year and already has nearly 1 million users each month, experiencing growth through word-of-mouth. He added that this service brings in tens of millions of dollars in recurring revenue for the startup each year. Eric Simons highlighted the appeal of the platform, stating that even those with limited technical expertise can use it to create something. Users can describe the application they want in natural language and create complex web applications without any coding experience. He mentioned that in some ways, StackBlitz competes with the development technology company Replit. Emergence Capital's General Partner Joe Floyd will join StackBlitz's board of directors in this funding round. Joe Floyd noted that the company's revenue has rapidly grown in the three months since the launch of their new product, outpacing the growth of Zoom, Salesforce, or any of their previous investments. He mentioned that both technical and non-technical users are utilizing the tool. GV's General Partner Erik Nordlander stated that this startup makes software development easier and added, "There's no faster way to develop applications than with their flagship product."