Vybe raises $10M as AI reshapes white-collar work

Vybe, a startup co-founded by repeat Y Combinator entrepreneurs Quang Hoang and Fabien Devos, has raised $10 million to take its AI-powered “vibe coding” platform deeper into large enterprises. First Round Capital led the seed round, with participation from Y Combinator, the CEOs of Datadog and Grammarly, and product leaders from OpenAI and Meta. Vybe currently has six employees and “dozens of customers,” and plans to use the new capital primarily to hire engineers.

Vibe coding allows users to build applications with natural-language prompts instead of traditional programming. Vybe is targeting corporate demand for these capabilities as companies weigh whether to buy software or assemble their own tools using AI. The company charges $12 per user per month, plus usage-based credits for app development.

According to Hoang, previously founder of engineering mentorship platform Plato, Vybe is designed for cross-functional use: engineering teams manage access to internal systems, while business teams build apps for onboarding, performance reviews, customer service, and other workflows. He describes the next generation of software-as-a-service as becoming “more like Legos,” with organizations assembling exactly what they need.

Vybe positions itself against other AI and low-code tools such as Lovable and Replit by emphasizing enterprise-grade security controls and deep integrations with corporate data platforms. The company says its security layer cannot be modified by AI and that it provides managed access into systems including Salesforce, Snowflake and Databricks, which are controlled by central engineering teams.

Beyond infrastructure, Vybe offers application templates created by well-known operators such as former Airbnb product leader Lenny Rachitsky and Front cofounder Mathilde Collin. These templates, which cover use cases like performance reviews and one-on-one meetings, can be “remixed” by customers to fit internal needs. That approach is intended to lower the barrier to deploying internal tools while standardizing best practices.

The funding comes amid both rapid investment in vibe-coding startups and a broader downturn in public software valuations. Startups such as Emergent have raised tens of millions of dollars from firms including Khosla Ventures and SoftBank, while Barclays analysts have warned that the initial boom in the sector may be cooling. At the same time, investors are reassessing how AI and in-house tooling might reshape the economics of traditional SaaS.

Vybe’s raise coincides with increasingly stark forecasts about AI’s impact on office jobs. Mustafa Suleyman, CEO of Microsoft AI, said in a Financial Times interview that he expects human-level performance from AI on “most, if not all, professional tasks,” predicting that the vast majority of tasks done by lawyers, accountants, project managers and marketers could be automated within 12 to 18 months.

Suleyman noted that software engineering already shows this shift, with employees using AI-assisted coding for “the vast majority” of code produced and forming what he called a “quite different relationship to the technology” over the past six months. Other AI leaders cited in related reporting have also described potential job displacement at scale, including scenarios with very high unemployment rates if automation is not managed.

While AI tools have boosted productivity, Business Insider has reported that “AI fatigue” has emerged among some software engineers, as increased output expectations accompany the new capabilities. In public markets, software stocks have entered one of their sharpest downturns in years, shedding roughly $2 trillion in market capitalization as investors digest how AI-enabled development and customized internal apps could affect long-term demand for packaged software.