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How Replit increased its ARR from $2.8M to $150M by shifting its focus away from professional developers

How Replit increased its ARR from $2.8M to $150M by shifting its focus away from professional developers

Bitget-RWA2025/09/30 20:33
By:Bitget-RWA

On this episode of StrictlyVC Download, TechCrunch Editor in Chief Connie Loizos and Alex Gove from StrictlyVC sat down with Amjad Masad, the founder and CEO of Replit, following the company’s recent $250 million Series C round that valued Replit at $3 billion.

Their conversation covered Replit’s impressive transformation—from maintaining around $2.8 million in annual recurring revenue for years to reaching $150 million—and how a bold shift away from targeting professional developers was key to this growth. Masad described why catering to non-technical users actually demands more computing resources than serving seasoned programmers, and recounted how the company overcame a viral production database crisis that nearly jeopardized their progress.

The discussion also explored the complexities of AI agent “reward hacking,” the reasons Replit has multiple LLMs compete with each other, and the implications of developing autonomous coding agents capable of operating for extended periods without human input. Additionally, Masad outlined his ambition to empower a billion people to become software creators, and explained why tackling tough challenges in safety and security could become Replit’s unique advantage.

StrictlyVC Download releases new episodes every Tuesday. Subscribe via  Apple Spotify, or any podcast platform to receive notifications about the latest episodes.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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