"Mercor, a startup that connects companies like OpenAI and Meta with domain experts needed to train and refine their foundational AI models, is in discussions with investors for a Series C round, according to a marketing document viewed by TechCrunch and two sources familiar with the deal talks. Felicis, a returning investor, is considering doubling down on the company for the Series C, according to two sources. Felicis declined to comment."
"The company is currently targeting a valuation of $10 billion or more, one person said. That's up from an $8 billion target valuation that the company discussed a couple of months ago, one person said. However, terms of the final deal could still change. The company has told potential investors that it already has multiple offers. VCs have been reaching out to Mercor preemptively with offers valuing the company at as much as $10 billion, the Information previously reported."
"The company told TechCrunch in February that its annual revenue (calculated by multiplying the latest month by 12) had reached $75 million at that time. In March, Mercor CEO Brendan Foody posted on X that ARR was $100 million. The company has told investors it is on track to hit the $500 million ARR milestone faster than Anysphere,the startup that makes AI coding assistant Cursor, according to one source familiar with the situation."
Mercor connects major AI companies with domain experts used to train and refine foundational AI models and is pursuing a Series C round. The company is targeting a $10 billion-plus valuation, up from an earlier $8 billion target, and has multiple investor offers and SPVs involved. The prior round was a $100 million Series B at a $2 billion valuation. Founded in 2022, Mercor has shown rapid revenue growth — moving from $75 million annualized to reported ARR of $100 million and approaching roughly $450 million in annualized run-rate — and reported $6 million profit in the first half.
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