Rocket.new, an emerging Indian startup specializing in AI-driven application development, has successfully closed a $15 million seed funding round. Led by Salesforce Ventures and joined by Accel and Together Fund, the investment aims to accelerate the startup’s mission to revolutionize app creation by enabling users to produce full, production-ready applications from natural-language prompts.
Rapid User Growth and Revenue Milestones
Since its beta launch in June 2025, Rocket.new has attracted over 400,000 users across 180 countries, including more than 10,000 paid subscribers. The company reports an annual recurring revenue (ARR) of $4.5 million, with ambitious plans to increase this to between $20 million and $25 million by the end of the year, and to $60 million to $70 million by June 2026. Co-founder and CEO Vishal Virani highlighted the platform’s unique positioning in the vibe-coding ecosystem, emphasizing its focus on delivering production-ready solutions rather than just prototypes.
Innovative Technology Stack and Product Vision
Rocket.new combines large language models from Anthropic, OpenAI, and Google’s Gemini with proprietary deep learning algorithms developed from datasets originating at DhiWise, the founders’ previous venture. This hybrid architecture enables the platform to generate comprehensive applications, including all essential modules, albeit with a longer initial build time of approximately 25 minutes compared to competitors’ faster but less complete outputs.
“We are building the first vibe solution platform, which is not solving just a problem of day one, but what we are focusing on is solving the problem of day two,” said Virani, underscoring the startup’s commitment to scalable, maintainable app development.
Diverse User Base and Application Types
Rocket.new’s platform has been adopted by a broad spectrum of users, including product managers, solopreneurs, and front-end developers from major companies such as Meta, PayPal, KPMG, PwC, and Times Internet. Approximately 80% of applications built are classified as “serious” projects rather than simple landing pages.
- 12% of apps are e-commerce platforms across grocery and apparel sectors.
- 10% focus on fintech solutions.
- 5–6% are B2B tools.
- 4–5% target mental health applications.
User activity is split between mobile app development (45%) and web development (55%), with many users integrating Rocket.new with existing backend services such as Supabase to create native mobile applications.
Subscription Model and Global Market Expansion
Rocket.new offers a free trial limited to one million tokens, after which users subscribe starting at $25 per month for five million tokens. This pricing strategy discourages casual users while maintaining a robust gross margin of 50–55%, with targets to increase margins to 60–70% in the near term. The U.S. market contributes 26% of revenues, followed by Europe at 15–20% and India at 10%. To strengthen its presence in North America, Rocket.new is establishing a U.S. headquarters in Palo Alto and plans to double its engineering and product teams in India within the next year.
Investor Kartik Gupta from Salesforce Ventures commented: “Rocket.new is purpose-built to solve the problem of iteration, maintenance, and deployment at enterprise scale, bridging the gap between AI code generation and production-ready software.”
FinOracleAI — Market View
Rocket.new’s innovative approach to AI-powered app development positions it strongly within the rapidly evolving vibe-coding market. Its focus on generating production-ready applications rather than prototypes addresses a significant pain point for enterprises seeking scalable solutions.
- Opportunities: Expansion into enterprise markets with scalable AI solutions, leveraging proprietary datasets to improve model accuracy and functionality.
- Risks: Competition from faster prototype-focused vibe-coding platforms, potential challenges in scaling AI infrastructure to meet growing demand.
- Growth potential in U.S. and European markets through localized presence and tailored go-to-market strategies.
- Ability to attract and retain top engineering talent to sustain product innovation.
Impact: Rocket.new’s funding and strategic direction signal a positive market impact, enhancing AI-driven software development capabilities and setting new standards for production-ready app generation.
