You Can Now Vibecode Mobile Apps

The landscape of artificial intelligence development and funding shifted significantly this week as Replit announced a major expansion into mobile application deployment amidst reports of a $9 billion valuation. Simultaneously, video generation startup Higgsfield has reportedly shattered growth records, hitting $200 million in annual recurring revenue (ARR) faster than industry titans like OpenAI and Slack, while Google DeepMind’s leadership issued new warnings regarding the narrowing technological gap between the U.S. and China.

Key Points

• Replit’s Mobile Expansion: The coding platform launched a feature allowing users to build and deploy mobile apps directly to the App Store, coinciding with reports of a pending $400 million fundraise at a $9 billion valuation.
• Higgsfield’s Record Growth: The video generation startup raised $80 million at a $1.3 billion valuation after reaching $200 million ARR in record time, largely driven by adoption among social media marketers.
• Talent Exodus at Thinking Machines: Mira Murati’s new venture is facing significant attrition, with three co-founders departing to return to OpenAI or Meta amid strategic disagreements.
• China’s AI Acceleration: Google DeepMind CEO Demis Hassabis stated that Chinese AI models are now only "months behind" U.S. counterparts, though questions regarding true innovation capabilities remain.

Replit Targets Mobile Market Amid $9B Valuation Reports

Replit, a leading cloud-based development environment, has introduced a suite of features designed to bring "vibe coding"—the practice of building software through natural language prompting—to the mobile ecosystem. While platforms like Riley Brown’s Vibe Code have previously explored this territory, Replit’s update addresses the complex backend logistics that often stall commercial launches.

The new functionality allows developers to navigate the entire mobile application lifecycle without leaving the Replit editor. This includes configuring payments, auditing security protocols, and managing the notoriously difficult App Store submission process.

"If you've been sitting on an idea, now's the time to bring it to life. Your audience, customers, or community are already on mobile. Your app should be, too. From idea to app store in minutes, all on Replit."

This product expansion aligns with significant financial maneuvering. According to Bloomberg, Replit is finalizing a fundraising round of approximately $400 million, which would value the company at $9 billion. Early beta testers suggest the new mobile capabilities are robust, with users reporting "10 out of 10 quality" for apps pushed directly to TestFlight via the new system.

Higgsfield Becomes Fastest Startup to Reach $200M ARR

In the generative media sector, Higgsfield has secured unicorn status with a new funding round valuing the company at $1.3 billion. The round, an extension of their $50 million Series A, injects an additional $80 million into the nine-month-old startup.

The company’s growth trajectory has been unprecedented. Higgsfield reported reaching $200 million in Annual Recurring Revenue (ARR), doubling its run rate from $100 million in just the past two months. This pace outstrips the early growth phases of major tech successes, including OpenAI, Zoom, and Slack.

Data indicates that 85% of Higgsfield’s usage now stems from social media managers, signaling a shift from casual experimentation to professional workflow integration. The company notes that marketers are increasingly treating generative video as "production infrastructure," utilizing the platform for end-to-end workflows including ideation, storyboarding, and publishing.

Talent Instability at Thinking Machines Labs

While funding flows into new unicorns, volatility continues to plague established players. Thinking Machines Labs (TML), the startup founded by former OpenAI CTO Mira Murati, is experiencing a sharp exodus of senior leadership. Reports confirm that co-founders Barrett Zoph, Luke Metz, and Sam Shonholtz have left TML to rejoin OpenAI, while Andrew Tulloch returned to Meta in October.

Sources close to the situation suggest the departures stem from misalignment regarding the company’s product vision and future technology stack. Following a tense all-hands meeting regarding Zoph’s exit, additional resignations have occurred, highlighting the intense competition for top-tier researcher talent in Silicon Valley.

"It was about the product, the technology, and the future. In the aftermath of these events, we've been hearing from several researchers at Leading AI Labs who say they are exhausted by the constant drama in their industry."

DeepMind CEO Warns of Narrowing Gap with China

On the geopolitical front, Google DeepMind CEO Demis Hassabis offered a sober assessment of the global AI race during an interview with CNBC. Hassabis warned that the technological disparity between U.S. and Chinese AI models has shrunk significantly over the last two years.

Hassabis noted that Chinese models, such as those from 01.AI (Yi), Moonshot AI (Kimi), and Alibaba (Qwen), are now performance-competitive with Western frontier models. In the video sector, platforms like Kling are arguably leading in specific technical areas, such as motion control.

"The question is, can they innovate something new beyond the frontier? I think they've shown they can catch up and be very close to the frontier, but can they actually innovate something new, like a new transformer... I don't think that's been shown yet."

This assessment follows news that Zhipu AI recently unveiled a model trained entirely on Huawei chips and software. While this specific model was a smaller-scale proof of concept rather than a frontier LLM, it demonstrates that domestic Chinese infrastructure is becoming capable of supporting an independent AI development stack, reducing reliance on restricted U.S. hardware.

Market Implications

The convergence of these stories points to a maturing AI sector where the barriers to entry for creation are lowering (Replit), while the benchmarks for financial success are skyrocketing (Higgsfield). As the talent war intensifies between startups and established labs like OpenAI, the broader industry must also contend with a rapidly closing geopolitical technology gap. The remainder of the year will likely determine whether Chinese labs can transition from "fast followers" to genuine innovators, a shift that would fundamentally alter the global competitive landscape.