Factory raises $150M at $1.5B valuation

Factory, a startup focused on AI-powered coding solutions for enterprise engineering teams, has secured $150 million in funding, achieving a $1.5 billion valuation. The funding round was led by Khosla Ventures, with significant participation from investors like Sequoia Capital and Blackstone. Factory differentiates itself by its ability to leverage multiple foundation models, including those from Anthropic and DeepSeek, to generate code. The company already boasts major clients such as Morgan Stanley and Ernst & Young, indicating strong market adoption for its AI coding tools.