Suno, the AI music-generation startup, raised more than $400 million in a Series D funding round at a $5.4 billion post-money valuation, the company said on Wednesday.
The round was led by Bond Capital, alongside IVP, Forerunner, Union Square Ventures, Alkeon, and Quiet
Existing investors Matrix, Lightspeed, Menlo Ventures, and Schroders Capital also participated. The raise more than doubled Suno’s valuation from $2.45 billion, where it last raised capital roughly seven months ago, according to TechCrunch. At that prior round, Suno raised $250 million, according to Bloomberg.
Co-founder and CEO Mikey Shulman told Bloomberg that the fresh funding will go toward building out its workforce, launching new offerings, and pushing the company’s expansion forward. With a current workforce of around 200 people, Shulman told Bloomberg the company is targeting staff growth of up to 70% before 2026 is out. As of February, the company had crossed the 2 million subscriber threshold and was projecting annual revenue of $300 million, according to Bloomberg. “Having more capital allows us to operate the business differently and take some bigger swings,” Shulman told Bloomberg.