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Home Business Vibe coding is being called the greatest unlock…

Vibe coding is being called the greatest unlock for non-techies. These 5 startups are raising billions.

· · 2 min read

The tech world is both in awe of and fearful of vibe coding.

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On one hand, tech giants are all in on these AI-assisted coding tools.

They’re touting efficiency gains, listing it as a need-to-have in job descriptions, buying their employees subscriptions, and even investing in vibe-coding startups themselves.

In the latest news from the vibe-coding bonanza: SpaceX said on Tuesday that it was officially acquiring AI coding startup Cursor for $60 billion.

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The deal strengthens SpaceX’s position in the AI coding race by helping it compete with top labs building advanced coding tools.

That deal is just the latest in a broader wave of acquisitions and partnerships sweeping through the vibe-coding space.

In July, AI startup Cognition snatched up Windsurf after OpenAI’s $3 billion deal to acquire the vibe coding tool maker fell through.

Just one month earlier, web design platform Wix bought Base44, a six-month-old startup bootstrapped by a solo founder, for $80 million.

These entrants are competing with far bigger and better-funded players, including OpenAI, Anthropic, and Microsoft, that make their own AI-powered coding tools.

Yet, the rise of these tools is also rattling the broader market: Some tech giants saw their shares take a hit as investors dumped legacy software stocks over concerns that AI and vibe coding will allow companies to build their own software rather than buy.

Both narratives are driving the valuations of vibe-coding startups such as Lovable and Replit, now well into the billions. “Our mission has always been that every human with an idea and an internet connection should be able to build any app they want,” Amjad Masad, the CEO of Replit, said in a release in March, announcing his company’s $9 billion valuation.

Business Insider compiled a list of the startups riding the vibes, detailing their latest valuations, fundraises, and what they’re best known for.

Contact Shubhangi Goel via email at sgoel@businessinsider.com or Signal at shuby.85.

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Nairavoice
Contributor at NairaVoice.com.ng