Higgsfield Raises $400M at $5.4B Valuation as AI Video Demand Shifts Toward Enterprise

Higgsfield Raises $400M at $5.4B Valuation as AI Video Demand Shifts Toward Enterprise

AI video startup Higgsfield has raised $400 million at a $5.4 billion valuation, marking a sharp increase from its $1.3 billion valuation in January 2026.

The round was backed by Goldman Sachs, DST Global, Liberty Global and Intel, alongside Tribe Capital, Smash Capital, Fifth Wall, Valor Capital, Mirae Asset Capital and NTT DOCOMO Ventures.

Founded in 2023 by Alex Mashrabov, Higgsfield develops AI-powered video creation tools designed to help users create and repeatedly edit video content rather than simply generating one-off clips.

From $1.3B to $5.4B in Eight Months

Higgsfield's latest valuation is roughly four times its January valuation.

The company raised an $80 million Series A extension in January, bringing that round to $130 million. At the time, Higgsfield was valued at $1.3 billion.

The company has now reached $500 million in annualised revenue, up from approximately $200 million at the end of 2025.

Enterprise Customers Drive Growth

Higgsfield says it now has more than 15 million users across 240 countries, but its business has shifted significantly toward enterprise customers.

Businesses now account for the majority of Higgsfield's revenue, compared with less than a quarter in January.

Companies are increasingly using AI video tools to produce multiple videos for social media and advertising campaigns rather than relying entirely on traditional agency production.

A Different Approach to AI Video

Mashrabov previously sold AI Factory to Snap for $166 million in 2020 and later led generative AI efforts at Snap.

Higgsfield was built around a different approach to AI video generation: instead of relying on a single proprietary model, the company integrates multiple external models and focuses on the workflow surrounding video creation.

The platform allows users to repeatedly modify and refine generated content rather than treating generation as a one-time process.

The Competitive Landscape

The AI video market is becoming increasingly competitive.

Runway raised $315 million at a $5.3 billion valuation in February but has since shifted more of its focus toward world models for robotics and medicine.

In China, Kling has also attracted significant capital and reached an $18 billion valuation.

Higgsfield is therefore competing in a market where model quality continues to improve while companies increasingly differentiate through workflow, distribution, enterprise features and infrastructure.

Scaling Compute and Enterprise Infrastructure

The new funding will support Higgsfield's enterprise products, security and computing capacity.

Compute is particularly important for AI video because generating video requires significantly more computational resources than many text-based AI applications.

Higgsfield's next challenge will be maintaining its rapid revenue growth while supporting the infrastructure demands of a large and increasingly enterprise-focused customer base.