Framer, a Dutch company specializing in tools for automating web design, has secured a $100 million funding round that values the startup at $2 billion.<\/p>\n
The investment was led by existing backers Meritech Capital Partners and Atomico, according to a statement<\/a> released Thursday.<\/p>\n The massive capital infusion positions it to take on its largest rival, Figma, which also uses a community-based model to create websites and design. It went public in 2023 and debuted on the New York Stock Exchange this summer and now holds a lofty market cap<\/a> of $37.68 billion.<\/p>\n No-code websites teach users to create websites and apps without extensive programming knowledge. As the no-code and AI-driven design sector heats up, Framer\u2019s rapid valuation jump underscores investor enthusiasm for platforms that simplify web development using generative AI, making it a key player to watch as the industry continues to evolve.<\/p>\n Framer claims a user base of 500,000 active monthly users, most of whom are startups. The company aims to attract larger enterprise clients as it scales. The last funding round in 2023 was a $27 million raise, though the valuation at that time was not disclosed.<\/p>\n \u201cClose to half of the latest Y Combinator batch launched with Framer, alongside global brands like Perplexity<\/a>, Scale AI<\/a>, Huel<\/a>, Miro<\/a>, Zapier<\/a>, and Mixpanel,\u201d Framer said in a statement. \u201cToday, hundreds of thousands of sites run on Framer, with more than half a million people using the platform each month.\u201d<\/p>\n Are growth-stage startups hot again? <\/p>\n Venture capitalists see significant potential in AI-powered tools that enable rapid website creation and design, especially following the September 2023 IPO of Figma<\/a>, which soared 250% on debut and has become a benchmark for the sector. It has since seen a rollercoaster ride for its share price.<\/p>\n \u201cFast-growing software IPOs have been extremely rare during the past three years, so deals like this tend to get a lot of attention,\u201d said Matt Kennedy, senior strategist at Renaissance Capital, a provider of IPO-focused research and ETFs, said after Figma\u2019s IPO<\/a>. \u201cBecause of this three-year bottleneck, tech IPO investors have been starved for new deals.\u201d<\/p>\n That appetite has only grown. Venture capital firms invested approximately $162.8 billion<\/a> across various deals in the first six months of 2025, according to data from PitchBook<\/a>.<\/p>\n