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.
The investment was led by existing backers Meritech Capital Partners and Atomico, according to a statement released Thursday.
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 of $37.68 billion.
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’s 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.
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.
“Close to half of the latest Y Combinator batch launched with Framer, alongside global brands like Perplexity, Scale AI, Huel, Miro, Zapier, and Mixpanel,” Framer said in a statement. “Today, hundreds of thousands of sites run on Framer, with more than half a million people using the platform each month.”
Are growth-stage startups hot again?
Venture capitalists see significant potential in AI-powered tools that enable rapid website creation and design, especially following the September 2023 IPO of Figma, which soared 250% on debut and has become a benchmark for the sector. It has since seen a rollercoaster ride for its share price.
“Fast-growing software IPOs have been extremely rare during the past three years, so deals like this tend to get a lot of attention,” said Matt Kennedy, senior strategist at Renaissance Capital, a provider of IPO-focused research and ETFs, said after Figma’s IPO. “Because of this three-year bottleneck, tech IPO investors have been starved for new deals.”
That appetite has only grown. Venture capital firms invested approximately $162.8 billion across various deals in the first six months of 2025, according to data from PitchBook.
Notably, about 30% of this funding was allocated to late-stage startups, reflecting a continued appetite among investors for established companies preparing for or already pursuing IPOs and acquisitions.
What is Framer?
Founded in 2014 in Amsterdam by by Koen Bok and Jorn van Dijk who had previously sold their company, Sofa, to Facebook, Framer initially focused on prototyping tools for website design. Over time, it expanded into web publishing and “no-code” development.
The funding underscores a broader trend among technology investors betting heavily on startups that offer no-code or “vibe coding” features, which rely on generative AI models from providers like OpenAI.
Framer markets itself as a simpler alternative to Figma and Squarespace, offering an integrated platform for web animation, marketing analytics, and publishing.
“We empower designers to publish websites without needing costly developers,” CEO and co-founder Koen Bok said in the statement today.
Who are the main competitors in this space?
Other startups in the space, such as Anysphere, which produces the AI coding assistant Cursor, are reaching hefty valuations on relatively modest revenue. In July, Anysphere announced over $500 million in annualized revenue, valuing the company at nearly $10 billion.
Framer, on the other hand, generated around $50 million in annual recurring revenue this year and projects to double that figure in 2026, driven by growing demand for AI-enhanced design tools.