Lovable’s Meteoric Rise: $100M ARR in 8 Months and a Game-Changing AI Agent

Jul 24, 2025

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min read

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tockholm-based AI startup Lovable has redefined the software industry, achieving $100 million in annual recurring revenue (ARR) in just eight months—faster than OpenAI, Cursor, Wiz, or any other software company in history, according to CEO Anton Osika.

“We’re not just building a tool; we’re creating a world where anyone can build software” Anton Osika

Alongside this milestone, Lovable unveiled the Lovable Agent, a revolutionary update slashing error rates by 91%, and secured $200 million in Series A funding at a $1.8 billion valuation, led by Accel.

This blog explores Lovable’s journey, its transformative technology, and its mission to empower 1 billion builders, with a special focus on its impact in education.

The Lovable Agent: A Senior Developer in Your Pocket

The Lovable Agent transforms software development by mimicking the workflow of a seasoned developer. Unlike its predecessor, which processed requests in a single step, the Agent operates iteratively, planning, executing, and refining tasks.

“The old Lovable tried to do everything in one go. Now, it thinks, acts, and adapts until the job is done,” Osika explained.

The Agent:

Plans: Breaks complex problems into actionable steps.
Executes: Uses tools to read and edit files, search for API documentation, generate images, debug logs, and query databases.
Adapts: Reviews results, adjusts strategies, and iterates until completion.

With a 91% reduction in error rates, the Agent enables users to build production-grade applications effortlessly. Lovable’s 2.3 million users, including 180,000 paying subscribers, have created over 10 million projects, generating 100,000+ projects daily.

Building a DocuSign Alternative in Minutes

To demonstrate the Agent’s capabilities, Lovable built a functional alternative to DocuSign—a $50 million company with 6,700 employees—in under 10 minutes.

The Agent planned the project, integrated Stripe payments by referencing API documentation, and resolved errors in real time. User Michael, who built a DocuSign competitor in two days, shared, “It’s shocking how fast you can go from idea to product,” highlighting the platform’s disruptive potential after receiving a cease-and-desist from DocuSign itself.

Real Builders, Real Success

Lovable empowers non-technical founders to launch thriving businesses:

Caio Moretti: Generated $3 million in revenue in 48 hours with a Lovable-built app.
Jameel: Reached $90,000 ARR with a restaurant management tool.
Felipe: Hit $10,000 MRR with a laundry subscription service.
Airweave: Built an agentic search tool for internal databases, earning Y Combinator admission.

Enterprises like Klarna, HubSpot, and Photoroom are adopting Lovable for production-grade solutions. In education, a Brazilian EdTech company grossed $3 million in 48 hours with a Lovable-built interactive learning app, showcasing its potential to transform educational technology.

A $200M Leap Toward a Billion Builders

On July 17, 2025, Lovable raised $200 million in a Series A round led by Accel, with participation from 20VC, byFounders, Creandum, Hummingbird, Visionaries Club, and angels like Klarna CEO Sebastian Siemiatkowski and HubSpot co-founder Dharmesh Shah.

The funding will support team expansion from 45 employees and enhance integrations with platforms like Supabase and GitHub. Lovable is also developing a Business Plan with advanced security and privacy features to meet enterprise needs, addressing earlier concerns about data vulnerabilities.

From a 6 AM Walk to a Global Vision

Lovable’s story began with Anton Osika, former CTO of Depict, a Y Combinator-backed startup that hit $1M ARR faster than any Swedish company.

In 2023, inspired by ChatGPT 3, Osika created GPT Engineer, a tool that turned plain English into working apps. Posted on GitHub, it exploded with hundreds of thousands of users and 50,000+ stars in weeks, driven by non-coders building their first apps.

“I realized 99% of the world’s best ideas are trapped in the heads of people who can’t code,” Osika reflected.

At 6 AM, Osika called co-founder Fabian Hedin: “Let’s go for a walk. I have an idea.” Hedin, in slippers, joined him for a two-hour trek through Stockholm.

By 8 AM, they’d founded Lovable—not to make coding easier, but to make it obsolete. Their vision is to create a market of 1 billion builders, mirroring how Canva expanded design from 5 million to 220 million users. “We’re not capturing the existing market for apps. We’re creating a new one,” Osika told investors.

Empowering Education with AI-Driven Tools

Lovable’s impact extends to education, aligning with the growing demand for AI-driven learning tools. EducationNext.in, a platform focused on educational innovation, highlights Lovable’s role in this space.

In “Vibe Coding: The Future of Software Development or a Passing Fad?”, the publication notes how Lovable’s predecessor, GPT Engineer, empowered students to build apps for subjects like math and science, fostering creativity and problem-solving.

The Lovable Agent takes this further, enabling educators to create adaptive learning platforms in hours, not months.

The Future of Building

With $100M ARR achieved by a lean team of 45, Lovable’s efficiency is unmatched. By reducing software development from 300+ hours to under an hour, it empowers anyone with an idea to become a builder.

A Medium case study praised Lovable’s “zero-friction experience” and its earlier $17M ARR in 90 days, underscoring its rapid adoption. Looking ahead, Lovable aims for $1 billion ARR and deeper enterprise penetration, positioning itself as a leader in AI-driven development from Sweden’s AI hub.

For those eager to join the building revolution, Lovable offers $100 in free credits and a 16-page prompt engineering guide. Try it via this affiliate link (#) to start creating apps and websites today.