Higgsfield raises $400m at a $5.4bn valuation, four times its January price

Higgsfield has raised $400 million in a Series B led by DST Global at a $5.4 billion valuation, the AI video company said on Monday. That is a little over four times the $1.3 billion it was valued at in January. The company says it is running at $700 million of annualised revenue, sixteen months after launching its platform, with more than 30 million users across 238 countries and 390 Fortune 500 companies as customers.

The investor list is long and unusually mixed for this stage. Alongside DST Global: Tribe Capital, Growth Equity at Goldman Sachs Alternatives, Smash Capital, Fifth Wall, Valor Capital, Intel Capital, Liberty Global Tech Ventures, Mirae Asset Capital, NTT DOCOMO Ventures, Accel, Menlo Ventures, AI Capital Partners, GFT Ventures, Capra Ventures, BAM Corner Point and BroadLight Capital. The supermodel and investor Natalia Vodianova Arnault also took part.

"Every business needs visual content, but creating it at the quality, speed and scale companies demand remains complex and expensive," said Alex Mashrabov, the co-founder and chief executive, who previously co-founded AI Factory, acquired by Snap in 2019. Yerzat Dulat, the other co-founder, is chief technology officer; the company is based in San Francisco. Yuri Milner, who founded DST Global, said the firm was "looking forward to supporting Alex, Yerzat, and the team as they build the next generation of AI tools for visual creation."

The number that gives the valuation a denominator is the revenue one. At $700 million annualised against a $5.4 billion price, Higgsfield is being valued at roughly 7.7 times revenue — low for an AI company raising at this speed, and the strongest argument in the round's favour, provided the figure means what it appears to mean.

Two caveats sit on it. Annualised revenue is a run-rate: a recent month multiplied by twelve, not a year of collected cash, and it is not audited. And Higgsfield has not published churn or the split between consumer subscriptions and the enterprise business those 390 Fortune 500 logos imply — a consumer creative tool and an enterprise content platform command very different multiples, and the announcement describes a company that is both.

Higgsfield says about 40 percent of its staff are filmmakers, producers and creatives rather than engineers, and that the money goes to research, infrastructure and hiring. Its most recent product, Supercomputer, launched in May. All figures here are the company's own; no independent audit or investor confirmation of the revenue run-rate has been published.