Factory raises $150M Series C at $1.5B for its Droids coding agents

Khosla Ventures led the round, with Sequoia Capital, Blackstone, Insight Partners, Evantic Capital, 20VC, NEA and Mantis VC participating. Keith Rabois joins the board, and total funding is now roughly $220 million. A law firm announcement dates the deal to April 16, 2026, and it followed a $50M Series B in September 2025. The new capital is earmarked for model routing and cost control, always-on agents, enterprise governance, and measuring how well agents perform at scale. Reported customers include NVIDIA, Adobe, Morgan Stanley, Ernst & Young and Palo Alto Networks. Sacra data reportedly shows annualized revenue growing from about $5 million in December 2025 to about $60 million by March 2026. Cursor, Cognition and Claude Code are the best-funded rivals. For founders, the product emphasis matters most. The agents are model-agnostic and run in any IDE, CLI, Slack or web, and the enterprise pitch leans on SOC2, SSO, audit trails and on-premise options. Governance, spend control and neutrality across model providers are being funded as the way to compete with model labs' own coding tools. The revenue figures are third-party estimates, not company disclosures.