Higgsfield reportedly in talks to raise at $5B valuation

The Information reports that AI video startup Higgsfield is in talks to raise new funding at roughly a $5 billion valuation, which would quadruple where the company priced just six months earlier. The headline number is the attention-grabber, but the chart behind it is what makes the round at least directionally plausible.

The baseline matters. Higgsfield closed an $80 million Series A extension round in January 2026 led by Accel, taking total Series A to $130 million at a $1.3 billion valuation, according to TechCrunch. Stacked on top is a steep growth chart: Sacra estimates Higgsfield hit $400M in annualized revenue in May 2026, up from about $200M at the end of 2025, and the company has said it is targeting $1B in annualized run rate by the end of 2026.

The founder profile is part of the pitch. Higgsfield was founded in 2023 by Alex Mashrabov, former head of Generative AI at Snap, who landed at Snap after it bought his previous startup, AI Factory, in 2020 for $166 million. That CV reads well to growth-stage investors looking at AI-native video as a category that touches creator tooling, advertising, and short-form social all at once.

The honest caveat is that this is reported talks, not closed paper, and a roughly fourfold markup on a six-month-old price always invites the question of whether usage revenue durably annualizes the way the run-rate math suggests. What the reporting does not give you is who is leading the new round, how much of the money is primary versus secondary, or what the post-money cap table would look like for existing Series A holders. What it does tell you is that the late-stage market for consumer-facing AI video has not cooled in 2026, even as much larger platform players push into the same surface.