Vercel secures $250M to drive AI and security advancements

In a Series E funding round sponsored by Accel, Vercel is valued at $3.25 billion, maintaining its position as the preeminent platform for developing the finest web products.

The foremost Frontend Cloud platform, Vercel, has secured $248 million in Series E funding at a valuation of $3.25 billion, the company announced. Accel, an existing investor, led the investment round, which also included CRV, GV, Notable Capital (formerly GGV Capital), Bedrock, Geodesic Capital, Tiger Global, 8VC, and SV Angel, all of which were also existing investors.

This new funding will enable Vercel to provide every developer, user, and organisation with the combined capabilities of its Frontend Cloud, AI, and enterprise-grade security. As artificial intelligence revolutionises the software development and delivery process, Vercel intends to allocate additional resources towards the development of v0, its revolutionary Generative UI product. This product streamlines the process of product creation by allowing users to describe concepts through prompts. Furthermore, the organisation intends to allocate resources towards the development of its Vercel AI SDK, which will furnish teams and developers with an all-encompassing structure for constructing AI-powered products and applications.

Security continues to be a primary concern as Vercel further develops its Frontend Cloud platform. By increasing its investment in enterprise-grade security, the organisation guarantees that its clientele can benefit from the simplicity of use and confidence that Vercel’s capability to safeguard applications and products while eliminating the need for infrastructure automation imparts. Vercel, which currently mitigates approximately one billion threats per week, is dedicated to bolstering its security capabilities in order to assist large enterprises dealing with intricate workloads and safeguard against emergent challenges and threats propelled by the expansion of artificial intelligence.

The Chief Executive Officer and Founder of Vercel, Guillermo Rauch, stated that “Vercel’s Frontend Cloud has been chosen by an increasing number of organisations globally to design more performant personalised web experiences with Vercel’s Frontend Cloud.” “As we move into this next chapter of growth and innovation, the Vercel team continues to be focused on assisting more businesses in delivering AI-driven, dynamic digital experiences in a secure manner. As we continue to develop upon our purpose of enabling the world to ship the best products, we are tremendously appreciative of the support that we have received from our investors.

According to Dan Levine, a partner at Accel, who voiced his trust in Vercel’s vision and track record, “Today’s organisations have come to recognise the frontend as a major force for increasing revenues,” Vercel’s vision and track record have made him confident. This was something that the Vercel team grasped nearly a decade ago, and they are also ahead of the curve when it comes to the role that AI will play in the future of the web. We remain confident in the company’s track record to take on the significant market opportunity that lies ahead as artificial intelligence becomes a staple in how developers and enterprise teams define dynamic online experiences and web applications. Their vision is the reason why we first partnered with Vercel in the early days of the company’s existence.