Factory (AI coding company)

Factory was founded in 2023 by Matan Grinberg and Eno Reyes and is headquartered in San Francisco, California, with Grinberg as chief executive. The company describes its mission as “Bring Autonomy to Software Engineering.”⁠[1][2]

Sequoia CapitalSequoia CapitalSequoia Capital is a venture capital firm founded by Don Valentine in 1972, investing from the seed stage through the growth stage. Its historical investments include Apple, Cisco, Google, YouTube, Airbnb, and Stripe; in 2021 it introduced the Sequoia Capital Fund structure, which can continue to hold public securities, and in 2023 its regional businesses became independent brands and partnerships.Open the full entry backed Factory at the seed stage.⁠[3]

Factory later raised a $15 million Series A from Sequoia Capital. As of January 2025 the company had raised $20 million in total.⁠[4][5]

On September 25, 2025, Factory announced a $50 million Series B from investors including NEA, Sequoia Capital, NVIDIANVIDIANVIDIA is an American semiconductor and computing technology company that provides graphics processing units, artificial intelligence infrastructure, networking interconnects, and computing software, and is listed on Nasdaq under the ticker NVDA.Open the full entry and J.P. Morgan, with angel investors Frank Slootman, Nikesh AroraNikesh AroraNikesh Arora is the chairman and chief executive officer of Palo Alto Networks. He previously served as chief business officer of Google and as president and chief operating officer of SoftBank, and his career spans investment, mobile telecommunications, internet business operations, and cybersecurity.Open the full entry and Aaron Levie; earlier backers included Abstract Ventures, Mantis VC, SV AngelSV AngelSV Angel is a San Francisco venture capital firm cofounded in 2009 by angel investor Ron Conway and former Google executive David Lee. It typically writes small follow-on checks in seed rounds and has invested in companies such as Airbnb, Pinterest, and Dropbox; in 2018 it said it would no longer raise new funds from outside investors, and from 2022 it set up growth funds.Open the full entry and BoxGroup.⁠[6]

In the same release the company said its software development agents, Droids, can take tasks from the terminal, IDE, SlackSlackSlack is a team communication and collaboration platform developed from an internal tool at Tiny Speck. It organizes work through channels, direct messages, searchable history and integrations, with features including Huddles, Clips, Canvas and AI assistance. Its paid service launched in February 2014, and Salesforce completed its acquisition in July 2021.Open the full entry, Linear or the browser, integrate with GitHub, Slack, Jira, Datadog, Sentry and Google Drive, and handle migrations and refactors, feature development, codebase Q&A, code review, documentation and incident response; it also said Droids ranked first on the Terminal Bench benchmark. Customers listed included Ernst & Young, NVIDIA, MongoDBMongoDBMongoDB, Inc. is a New York-based database software company that develops the document database of the same name and sells it as the cloud-hosted service MongoDB Atlas, the self-managed commercial edition MongoDB Enterprise Advanced and the free Community Server. Formerly called 10gen, the company listed on Nasdaq in 2017 under the symbol MDB.Open the full entry, Zapier, Bayer and Clari.⁠[6]

On April 16, 2026, Factory announced a $150 million Series C at a $1.5 billion valuation, led by Khosla VenturesKhosla VenturesKhosla Ventures (KV) is an American venture capital firm founded in 2004 by Vinod Khosla, the founding CEO of Sun Microsystems, and headquartered in Menlo Park, California. It made heavy early bets on clean technology, became OpenAI’s first venture capital investor in 2019, and its portfolio also includes companies such as DoorDash, Block (formerly Square), Impossible Foods, and Rocket Lab.Open the full entry with participation from Sequoia Capital, BlackstoneBlackstoneBlackstone is an alternative asset manager serving institutional and individual investors. Its official website states that its assets under management exceeded $1.3 trillion as of June 30, 2026.Open the full entry, Insight Partners, Evantic CapitalEvantic CapitalEvantic Capital (Evantic) is a London-based venture capital firm focused on investing in artificial intelligence companies, founded by Matt Miller, a 13-year Sequoia Capital veteran. It is known for its “Legends” community of advisers and fund investors, and its portfolio includes ElevenLabs, Harvey, Fireworks AI, Lovable, n8n and Synthesia, among others.Open the full entry, 20VC, NEA and Mantis VC; Keith Rabois, a managing director at Khosla Ventures, joined Factory’s board.⁠[7][3]

In the announcement the company said its revenue had doubled month over month for each of the previous six months, that hundreds of thousands of developers used Droids daily, and that enterprise customers included Nvidia, AdobeAdobeAdobe (Adobe Inc.) is a software company headquartered in San Jose, California, founded in 1982 by John Warnock and Charles Geschke. Known for PostScript, PDF and creative software such as Acrobat, Photoshop, Illustrator, Premiere Pro and After Effects, it moved its main creative products to Creative Cloud subscriptions from 2013 and expanded into digital marketing and generative AI; it is listed on Nasdaq under the ticker ADBE.Open the full entry, EY, Palo Alto NetworksPalo Alto NetworksPalo Alto Networks is an American cybersecurity company that offers network security, cloud security, security operations, identity security, and artificial intelligence security products, and provides threat intelligence, assessment, and incident response services through Unit 42.Open the full entry and Adyen; it also described Missions, multi-agent workflows for long-horizon tasks, and Factory Desktop, which runs Droids natively on a user’s machine.⁠[7]

On August 31, 2026, Factory announced it was opening an office in Tokyo as part of its expansion in Asia; Seiji Sasaki, who had led go-to-market and served as site lead for OpenAIOpenAIOpenAI is an artificial intelligence research and product organization founded in 2015 that develops the GPT model series, ChatGPT, Codex and a developer API, and conducts research on image, speech, video and intelligent agents. After its 2025 restructuring, the nonprofit OpenAI Foundation continues to control the for-profit OpenAI Group PBC. Its growth has involved large-scale fundraising and compute partnerships, and has also been accompanied by controversies over governance, copyright, privacy and AI safety.Open the full entry Japan and earlier was vice president and general manager for Japan and Korea at Slack, joined as president and general manager of Factory Japan.⁠[8]

On September 9, 2026, Factory announced that it was available on AnthropicAnthropicAnthropic is an artificial intelligence research and product company founded in 2021 that develops the Claude models, assistant, and tools such as Claude Code, and operates as a public benefit corporation. Dario Amodei and Daniela Amodei are its co-founders, and its research covers model safety, interpretability, and steerability.Open the full entry’s Claude Marketplace, allowing enterprise customers to apply committed Anthropic spend to Factory.⁠[1]

On September 15, 2026, Factory announced it had raised $200 million at a $5 billion valuation from investors including Blackstone, Khosla Ventures, Sequoia Capital, Insight Partners, Evantic Capital, Sound Ventures, NEA, Mantis VC and Clearlake, bringing its total funding to more than $400 million; the money is earmarked for research, product and global go-to-market.⁠[9]

Customers named in the announcement included Nvidia, Blackstone, Royal Bank of Canada (RBC), Palo Alto Networks, Adobe and T-MobileT-MobileT-Mobile (T-Mobile US, Inc.) is one of the major U.S. wireless carriers, headquartered in Bellevue, Washington, and Overland Park, Kansas, and controlled by Deutsche Telekom. Its predecessor was VoiceStream Wireless, founded in 1994; it listed on Nasdaq after combining with MetroPCS in 2013 and merged with Sprint in 2020.Open the full entry; the company also said its Factory Router cut token spend by more than 60% while maintaining frontier performance.⁠[9]

On September 29, 2026, Factory announced that it was a launch partner for the OpenAI marketplace, which OpenAI unveiled at DevDay, allowing eligible OpenAI enterprise customers to apply part of their existing OpenAI commitment to Factory.⁠[10]

On October 9, 2026, Factory announced the acquisition of Mentlio, a Y Combinator Summer 2026 company founded by Ashank Shah and Ahmet Demirbas, who met while studying computer science at Caltech; Mentlio develops in-harness model routing and context compression.⁠[11]

On October 30, 2026, Factory announced the acquisition of Typedef, which builds a context layer from code that maps relationships across data models, pipelines and dashboards; its founders Yoni Michael and Kostas Pardalis joined Factory with the team. The terms were not disclosed.⁠[12]

Factory’s core product is a set of AI coding agents called Droids that plan, build, review and ship software across desktop, terminal, web and CLI. Teams set goals and policies while the agents handle coding, testing and deployment; the product also includes analytics, a local agent computer, readiness scoring, mission monitoring, automations, model routing, code review and auto-generated repository wikis.⁠[13]

Factory: Official website: https://factory.com/ (opens in a new window).⁠[13]

X: Public account: https://x.com/FactoryAI (opens in a new window).⁠[13]

LinkedInLinkedInLinkedIn is a social networking platform for professionals. It was founded in 2002 by Reid Hoffman and others, launched in 2003, and listed on the New York Stock Exchange in 2011; after Microsoft acquired it for approximately $26.2 billion in 2016, it became a wholly owned Microsoft subsidiary. Its revenue comes from membership subscriptions, advertising, and recruitment solutions.Open the full entry: Public profile: https://www.linkedin.com/company/factory-hq/ (opens in a new window).⁠[13]