Factory, the San Francisco company selling agents that do software work, has collected $200M in fresh capital at a $5B valuation, up roughly $3.5B since April.
Blackstone, Khosla Ventures, Sequoia Capital and NEA backed the round, with Salesforce chief Marc Benioff among the angels taking part.
Factory does not sell autocomplete. A developer states a goal in ordinary language, say moving an application into another language, and the platform breaks the work into smaller pieces, handing each to a separate agent and spinning up the machines those agents need. Before any of that starts, a command called Readiness Report grades the repository – is the code organised enough for agents to work in, and are there guardrails to keep them from adding vulnerabilities?
Each step goes to whichever large language model handles it most cheaply, and requests are rerouted when a model misbehaves. Finished snippets pass quality and security checks, while AutoWiki writes and refreshes documentation. Agents run in virtual machines the company calls Droid Computers, deployed either in Factory’s cloud or on a customer’s own infrastructure.
The bet is that the constraint on AI coding has shifted from model quality to orchestration. Rivals including Cursor and Cognition sell similar automation, and enterprises remain wary of agents touching production repositories. Factory says the money funds engineering and expansion of its sales team.
