AI training startup Mercor is reportedly in talks to raise a round at a $20 billion valuation, having crossed $2 billion in annualized revenue and acquiring AI agent training company Deeptune.
AI training startup Mercor seeks to raise a round at a $20 billion valuation, doubling from its last $10 billion valuation in October.
# Mercor is in talks for a $20B valuation | TechCrunch
Source: [https://techcrunch.com/2026/07/09/mercor-is-in-talks-for-a-20b-valuation/](https://techcrunch.com/2026/07/09/mercor-is-in-talks-for-a-20b-valuation/)
In Brief
Posted:
11:42 AM PDT · July 9, 2026
**Image Credits:**TechCrunch / Getty ImagesAI training startup Mercor is reportedly in talks to raise a round at a $20 billion valuation, sources[tell Bloomberg](https://www.bloomberg.com/news/articles/2026-07-09/ai-training-startup-mercor-discusses-20-billion-valuation?srnd=phx-technology)\. That would be quite a jump from its last value in October, when it raised a[$350 million Series C at a $10 billion valuation](https://techcrunch.com/2025/10/27/mercor-quintuples-valuation-to-10b-with-350m-series-c/)\.
The conversations for this latest round are at early stages, the outlet noted, yet it reported that Mercor told investors it already received a term sheet at the new valuation\. This report also comes as founder\-CEO Brendan Foody[took to X](https://x.com/BrendanFoody/status/2074193875695214907)to say the company’s[annualized revenue run rate](https://techcrunch.com/2026/05/22/how-vcs-and-founders-use-inflated-arr-to-kingmake-ai-startups/)crossed $2 billion, a $100% increase from just four months ago\.
[Mercor also announced](https://fortune.com/2026/07/09/ai-unicorn-mercor-acquires-deeptune-brendan-foody-investor-a16z-openai-anthropic/)on Thursday that it was buying Deeptune, a company that helps train AI agents\. The entire Deeptune team will be joining Mercor as part of the acquisition,[per its press release](https://www.mercor.com/blog/mercor-to-acquire-deeptune/)\. The revenue numbers, acquisition, and potential new funding signal that Mercor may have put its bumpy early 2026 troubles behind it\. Earlier this year, the company suffered[a data breach](https://techcrunch.com/2026/04/09/after-data-breach-10b-valued-startup-mercor-is-having-a-month/)and several of its contract workers filed lawsuits,[Business Insider reported](https://www.businessinsider.com/mercor-lawsuits-data-breach-2026-4)\.
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