Higgsfield Raises $400 Million at $5.4 Billion Valuation
Higgsfield raised $400 million at a $5.4 billion valuation, citing $700 million in annualized revenue, 30 million users and rising enterprise adoption.
Summary
On Monday, August 17, 2026, Higgsfield announced a $400 million Series B at a $5.4 billion valuation, roughly quadrupling its $1.3 billion valuation from eight months earlier. Founded in 2023 by former Snap executive Alex Mashrabov, the AI image and video company reported $700 million in annualized revenue, 30 million users across 200 countries and customers among 390 of the Fortune 500. Its AI-generated movies premiered at Cannes and in New York during the past year, while Cinema Studio serves filmmakers and Marketing Studio targets advertising and marketing teams. Mashrabov expects video AI to become more embedded in everyday enterprise marketing and creative workflows.
DST Global led the round, joined by Goldman Sachs Alternatives, Valor Capital and Tribe Capital. Higgsfield will spend the capital on hiring, product development and compute, a major cost because processing one minute of video is comparable to processing 60,000 words. Mashrabov said reliable compute capacity is necessary to compete with AI video companies including Synthesia and Runway.
Positives
- $400 million in Series B funding lifted Higgsfield’s valuation to $5.4 billion, from $1.3 billion eight months earlier.
- $700 million in annualized revenue and 30 million users across 200 countries indicate substantial commercial and geographic reach.
- 390 Fortune 500 companies now work with Higgsfield, expanding its enterprise position in marketing and creative production.
- Cinema Studio and Marketing Studio give filmmakers, advertisers and marketing teams specialized tools for creating AI images and videos.
- DST Global led the round, with Goldman Sachs Alternatives, Valor Capital and Tribe Capital also investing.
Risks & concerns
- One minute of AI video requires processing comparable to 60,000 words, making compute a significant operating expense.
- Reliable compute capacity is a necessary competitive cost for Higgsfield as it faces Synthesia and Runway.
- The $400 million round must support compute alongside hiring and product development, reflecting the capital intensity of AI video.
