Higgsfield, an AI video and image generation startup, has raised $400 million in a Series B round at a $5.4 billion valuation, more than quadrupling its worth just eight months after a Series A round valued the company at $1.3 billion.
The round was led by DST Global, with new backers including Goldman Sachs Alternatives' growth-equity arm, Fifth Wall, Intel Capital, Mirae Asset Capital and NTT Docomo Ventures, alongside existing investors Accel and Menlo Ventures. Higgsfield said its annualized revenue has reached $700 million, up sharply from where it stood at the time of its Series A, and that it now counts 390 Fortune 500 companies among its more than 30 million users across 238 countries.
Every business needs visual content, but creating it at the quality, speed and scale companies demand remains complex and expensive.
Alex Mashrabov, co-founder and CEO, Higgsfield
Mashrabov previously co-founded AI Factory, the computer-vision company behind Snapchat's face filters, which Snap acquired in 2019. Higgsfield's platform lets creators, agencies and brands generate professional-grade video and image content from text or reference footage, competing for enterprise budgets against a fast-growing field of AI video tools. The company said the new capital will fund research and development, expand global computing infrastructure, and support hiring as it scales its go-to-market operations internationally.
The round is the latest sign that investors are still willing to write large, fast-follow checks into AI applications even as questions persist about how much of the sector's revenue is durable versus front-loaded pilot spending. Higgsfield's valuation jump — from $1.3 billion to $5.4 billion in under a year — mirrors a broader pattern this year of AI-native startups repricing sharply between rounds as revenue scales alongside enterprise adoption, according to reporting on the deal.
AI companies have captured more than 70% of global venture dollars in the second quarter of this year, and rounds of $100 million or larger now account for the bulk of capital deployed, according to industry funding trackers. That concentration has drawn criticism that the venture market is chasing a narrow set of AI infrastructure and application bets at valuations some investors privately call stretched, even as the capital keeps flowing.