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

Higgsfield has raised $400 million in a Series B funding round that values the AI video startup at $5.4 billion, more than quadrupling the $1.3 billion valuation it reached earlier this year.

DST Global led the round, with participation from Growth Equity at Goldman Sachs Alternatives, Tribe Capital, Smash Capital, Fifth Wall, Valour Capital, Intel Capital and other investors. Existing backers, including Accel, Menlo Ventures, and GFT Ventures, also participated.

Higgsfield expands as enterprise demand grows

Founded by former Snap executive Alex Mashrabov, Higgsfield develops tools for creating AI-generated images and videos. Its products include Cinema Studio for more controlled video production, as well as tools for marketing and creative teams.

The company says it has reached $700 million in annualised revenue and more than 30 million users across 238 countries and territories. Higgsfield also says its technology is now used by 390 Fortune 500 companies, reflecting its growing focus on enterprise customers.

Mashrabov said the company expects AI video to become more deeply integrated into everyday marketing and creative workflows as businesses increase their use of generated visual content.

The funding will support research and development, hiring, global expansion and additional computing infrastructure. Higgsfield says securing sufficient compute has become a major requirement as the use of AI video tools grows.

AI video requires heavy computing capacity.

Video generation is one of the more computationally demanding areas of generative AI because models must create and maintain consistency across large numbers of individual frames. That makes reliable access to computing infrastructure an important cost for companies competing in the market.

Higgsfield faces competition from AI video companies, including Runway and Synthesia, as well as a growing number of platforms offering tools for advertising, filmmaking, and social media production.

The company has also been pushing further into professional filmmaking. Higgsfield has promoted AI-generated film projects and built tools intended to give creators more control over camera movement, scenes and visual direction rather than relying on simple text-to-video prompts.

The latest financing gives Higgsfield substantially more capital to expand its product offerings while scaling its infrastructure for enterprise customers. The company said the round will also support global go-to-market operations as it tries to turn rapid adoption of AI video into a larger commercial business.