Connect with us

News

Replit’s Amjad Masad on the Cursor deal, fighting Apple, and why he’d rather not sell

info

Published

on

55242949643 f997627b64 k.jpg

Amjad Masad has been building Replit for a decade, but the last 18 months have been something else entirely. The AI coding assistant company went from $2.8 million in revenue in all of 2024 to tracking toward what Masad describes as a billion-dollar annual run rate.

At TechCrunch’s sold-out StrictlyVC event in San Francisco on Thursday night, we covered a lot of ground in a short time, beginning with the question everyone in the industry is asking right now: in a world where rival Cursor is reportedly in talks to be acquired by SpaceX for $60 billion, is Replit also bound to sell? We also got into Replit’s net revenue retention — a measure of how much existing customers expand their spending — which Masad says is reaching as high as 300%, his willingness to take Apple to court over what he called outright lies in its App Store battle with Replit, and the possibility of the company beginning to invest in its own customers.

On the question of independence, Masad was unambiguous. Unlike Cursor, which he said has been operating at negative 23% gross margins, he argued Replit has the economics to make that path viable — even if he stopped short of ruling out a sale entirely.

The following has been edited for length and clarity:

TC: Cursor’s reported SpaceX deal was the talk of the industry last week. What did you make of it?

AM: It’s kind of hard being an independent, smaller AI company that’s building on foundation models, especially if you’re burning a ton of cash. Part of the reporting suggested Cursor has negative 23% margins, and if you’re also wanting to invest in training models, that makes it incredibly hard to stay independent.

For us at Replit, partly because we target a different customer set, we’ve been able to run the business more rationally. We’ve been gross margin positive for over a year. We’re slightly more expensive, but we provide a lot more. Our audience tends to be mostly non-technical users who previously haven’t been able to create any software. We provide an end-to-end platform — from the prompt all the way to a deployed application that can scale. We handle security, databases, database migration. And we’ve been doing this long enough that we’ve built a lot of those primitives into the platform.

Techcrunch event

San Francisco, CA
|
October 13-15, 2026

Is Replit for sale? I would assume you are talking with potential acquirers all the time; it’s your fiduciary responsibility.

Yeah. We have amazing partners, and they sometimes bring up these topics. But we’re going to try to stay independent. I would love for us to remain an independent company. We’ve been around for 10 years, before it was even accepted that you could make apps just from ideas. We were talking about creating a billion software creators back in 2018 at YC, and people sometimes actually laughed at that dream. Now that dream is possible, and we kicked off this revolution with our agentic coding experience in September 2024. It just feels like we can take it much further.

You work closely with Anthropic, Google, and OpenAI. If you had to rank them — who’s doing it best?

Anthropic is still undefeated on the core agentic loop. They have the best tool calling; the agent can stay coherent much longer. GPT-5 is catching up quickly. Google’s Flash family of models is just amazing on price-performance. If you want something fast and cheap, they’re actually beating open source right now. We use all three, and honestly I wouldn’t discount the newer labs either. Reflection AI is coming out with open-source models we’re hearing great things about. And the Chinese models are impressive — Kimi is as good as an Anthropic-generation model from January, so it’s only about three months behind.

When you’re in a bake-off for an enterprise deal, what wins it for you?

Most of our sales are inbound or organic — very product-led. We’ve acquired customers like Zillow and Meta purely through people adopting the product and then raising their hand to buy an enterprise plan. When it does go top-down and there’s a formal bake-off, we usually win on product. But even in cases where we might be missing a feature, once it hits the C-suite and the IT group, Replit wins on security. A lot of vibe-coding tools will generate a website and connect it to an external database — great products, but it makes security much harder, because the database is open to the public and you need to configure row-level security, which is especially difficult for non-technical builders. Replit being full stack, with the database built into the project and not open to the public — that makes the app inherently more secure.

We also spent 10 years battling crypto scammers and hackers, so our cybersecurity function is as good as a dedicated cybersecurity startup. Every time you deploy an app on Replit, we create an entirely new isolated project on Google Cloud. We inherit Google’s security model.

Can we talk about churn? How long do you hold onto customers if the best prototypes eventually get rebuilt into a company’s existing stack?

Churn is very, very low, and net retention is incredibly high — 300% in some cases. What we actually hear from customers is that when engineers get nervous and try to rebuild an app into their own stack, they often make it worse. Once enterprises get comfortable with the full Replit stack — especially when we set up a single-tenant environment for them — they keep the apps on Replit. Bain & Company, for example, replaced Tableau and Power BI with Replit and Databricks.

There’s a growing concern about AI bloat — non-technical users generate far more code and burn through far more tokens. That’s good for you [given your usage-based fees]. What about your customers?

We don’t have a lot of regrettable spend. Enterprises are very ROI conscious, and they tell us about the returns they’re getting. For the most part they feel the investment is totally worth it — often one, two, three orders of magnitude. If they spend $100,000 a month with Replit, they’re usually generating $2 million, $3 million, $10 million in some kind of return.

Let’s talk about Apple. Another rival, Lovable, just got an app-building app approved by the App Store this week. Replit has been in App Store purgatory, with Apple blocking your updates for months. How much does that hurt you?

It’s not life or death — we could lose the app and it wouldn’t do anything meaningful to our business. But it’s an app people genuinely love. We’ve been on the App Store for four years. Kids in underprivileged communities learn to code on Replit on their Android devices. Executives use it in meetings.

The reason Replit got blocked when others weren’t, we believe, is that Replit makes iOS apps. When we launched that capability in December, there were charts going around showing how many apps were getting into the App Store through us. We think Apple feels threatened by that.

Apple’s stated reason is that you’re downloading new code to the device [after the approval process], which violates their guidelines.

That’s a lie. And we can prove it in court if we have to.

Is that going to happen?

I hope not. I’m a fan of Apple, and I’d love to collaborate and build something great together. We’re happy to send customers to Xcode [Apple’s own development environment]. But you can’t run a marketplace that a billion people have access to and make decisions that are discriminatory or based on whims.

Just wondering if, like Nvidia, OpenAI and others, you’re thinking about investing in your own customers in exchange for equity.

We’ve thought a lot about it, and it is a consideration. I’ve personally invested in a few startups that started on Replit before they made any money. Some of them, like Magic School — a teacher decided to take his time during COVID to learn a little bit of vibe coding and built an AI app for other teachers. He found this problem that in America, we burn out a lot of teachers. He wanted to use AI to reduce the workload. He did that, and he made $20 million in the first year. Other companies that started on Replit, I think, are valued at half a billion dollars. The entrepreneurship happening on Replit right now is genuinely exciting. We integrated with Stripe a few months ago, and the transactions flowing through Replit are growing triple digits month over month. Pretty soon, our customers will be making more revenue than we are.

You can watch our full conversation with Masad below:

 

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

News

DSS Issues Warning Over Terrorist Plot to Attack Osun Churches, Mosques, Markets

info

Published

on

By

20260913 063938 1200x675.jpg

The Department of State Services has warned religious leaders in Osun State about an alleged plan by terrorists to attack churches, mosques, markets and other places where large numbers of people gather.

Politics Nigeria gathered that the warning was issued during separate meetings between DSS officials and leaders of the Muslim and Christian communities in Osogbo.

The security agency reportedly told the religious leaders that intelligence had uncovered plans to move terrorist activities into the southern part of the country, with the South-West identified as a possible target.

The alleged plot is believed to be connected to efforts to create fear and insecurity ahead of the 2027 general elections.

The DSS reportedly advised religious organisations and other owners of public gathering centres to strengthen their security arrangements and remain vigilant.

President of the Osun State Muslim Community, Alhaji Mustapha Olawuyi, confirmed that the meeting with the DSS took place in Osogbo.

Olawuyi said the warning was serious and urged Muslims across the state to take the security advice seriously.

He said, “The meeting is true; it was held on Wednesday in Osogbo. We need to be careful and vigilant. These people (terrorists) have been trying to infiltrate Osun for quite some time.

“We had, some time ago, sent back some herders, numbering about 200, who flooded Osun from the Ikirun axis. There were also some individuals who came into the state on motorcycles. They didn’t understand our language and we had to send them back. The DSS is doing a very good job in terms of intelligence and alerting the people.”

Olawuyi also disclosed that the DSS had given specific instructions to mosque leaders on steps they should take to reduce the risk of attacks.

He later circulated an audio message to imams across the state, explaining some of the information presented during the meeting.

According to him, the security agency said terrorists could attempt to exploit crowded religious gatherings to cause casualties and create widespread panic.

He said, “The DSS came from Abuja to Osun to warn us about a plot by some politicians and terrorists to frustrate the 2027 election, and for every one of us to be careful.

“The officers said they had intelligence that the terrorists would mobilise to the southern part of the country and the South-West, especially to cause mayhem so that the election may not hold or cause apathy.

“They advised that all religious centres should be watchful. They told us not to allow anybody with a car to park close to the people or congregation during Jumat prayer or gathering. They warned us against allowing anybody to sleep in the mosque. They also told us to be careful of compromised commercial motorcycles and herders. They told us to have night guards at every mosque.”

The Christian community in the state also received a similar warning.

The Osun State Chairman of the Christian Association of Nigeria, Pastor John Adeleke, confirmed that the DSS met with Christian leaders and asked them to increase security awareness in churches and other places where people gather.

Adeleke said the security agency specifically urged churches to be cautious about unfamiliar vehicles and unknown visitors.

He said the warning was subsequently circulated among CAN blocs and other Christian groups in the state.

A report of the meeting also indicated that the DSS told Christian leaders that terrorists had allegedly mapped out Osun State as part of a wider plan to attack states in the country before the 2027 presidential election.

The report stated that the suspected attackers were allegedly planning a route through Kaduna and Jos before moving towards Osun State.

It identified churches, mosques, markets, schools, clubs and viewing centres among the places that could be targeted.

The report, titled, ‘The Report of the Meeting Held with the Department of State Security Osun State Command Today, Wednesday, 9th September, 2026’, was signed by the State Assistant Secretary, Osun CAN, Ajayi J.K.

File Photo: Leaked DSS Memo Reveals Planned Boko Haram Attack, Kidnapping Plot
File Photo: Leaked DSS Memo Reveals Planned Boko Haram Attack, Kidnapping Plot

The report read in part, “The DSS Osun State Command called for a meeting with the OSCAN Chairman, Rev. Dr John Adeleke, on the alertness of security in Osun State.

“They made it known, based on their intelligence and security expertise, that the attackers or the terrorists have mapped Osun State, and that between now and the period of the coming presidential election, they will attack some states. They planned to go through Kaduna, Jos and come down to Osun State.

“Their targets are places of gathering, such as churches, mosques, markets, schools, clubs or viewing centres, etc., and we are asked to put tight security in place in our churches.”

Adeleke said church leaders were also advised to discourage activities that could expose worshippers to unnecessary risks, particularly at night.

He said visitors should be properly identified before being allowed into church premises, while school owners and managers of other public facilities were also expected to review their security arrangements.

He said, “After sharing with us that the churches will need to be careful and that we should encourage our churches also to be on alert, we sent the message to all our blocs and different platforms, where our people may be informed.

“For example, they told us we should not allow a strange vehicle to park near churches because there may be explosives inside the car. They also told our leaders throughout the state that they should be careful, and any visitor that comes around should be questioned before we allow him or her into the premises of the church.

“They also said we should be careful of night programmes, so that the people will not take advantage of the darkness to perpetrate their evil plans. The message is that our people should be security-conscious. If they see anything, they should say it. They also told us to inform school owners to be security-conscious. The government is aware too. God is our divine protector, but in areas where we need to be careful, we want to be,” Adeleke added.

Osun has also witnessed heightened political and security concerns in recent weeks following the August 15 governorship election in the state.

The election was conducted amid calls for security agencies to protect voters, electoral officials and collation centres.

The latest DSS warning has therefore placed churches, mosques and other public gathering centres on heightened alert.

Religious leaders are now expected to pass the security information down to worshippers and members of their communities.

The advice includes reporting suspicious persons and activities, avoiding unidentified vehicles around crowded locations and ensuring that security arrangements are in place during major programmes.

Nonetheless, The DSS has not publicly released detailed information on the alleged terrorist intelligence or identified the specific groups suspected of planning the attacks.

 

Continue Reading

News

2027: PDP dumps Accord, backs Fadeyi for Osun Central Senate

info

Published

on

By

Pdp 1.jpg image.jpg

The Peoples Democratic Party, PDP, in Osun State has ended its electoral collaboration with Accord following the August 15 governorship election.

The revelation was made by the PDP National Treasurer, Diran Odeyemi, in a statement signed by Senator Olubiyi Fadeyi Ajagunla in Osogbo on Saturday.

Odeyemi said the arrangement between the two parties was specifically tied to the governorship election and would not continue into the 2027 general elections.

The PDP chieftain also declared that the party had begun preparations for the 2027 elections, with its candidates expected to commence campaign activities ahead of the polls.

Recommended

He disclosed that Senator Olubiyi Fadeyi Ajagunla, representing Osun Central Senatorial District, remained the PDP’s candidate for the district in the 2027 Senate election.

Odeyemi urged PDP members and supporters in the senatorial district to mobilise support for Fadeyi and work towards securing victory for the party at the polls.

According to Odeyemi, “the PDP had deployed its political structure to support Governor Ademola Adeleke’s re-election bid during the August 15 governorship election, when Adeleke contested under the Accord platform.

“The agreement between the party and Accord ended with the governorship election and now the party is ready to support and work for Senator Ajagunla during the 2027 polls.

“In the Osun Central Senatorial District, Senator Olubiyi Fadeyi Ajagunla is our candidate and the PDP will campaign and work with him.”

Odeyemi also said the end of the arrangement was a matter of party organisation rather than a personal dispute, noting that Accord’s Osun Central senatorial candidate, Gani Olaoluwa, remained his friend.

“The arrangement we had with Accord in Osun has ended with Governor Adeleke’s election. I have been mandated in my capacity as the PDP National Treasurer to deliver the senatorial district for the party,” he said.

Fadeyi, a former member of the All Progressives Congress (APC), recently confirmed his return to the PDP and said he had informed the Senate of his decision.

He also cited the conduct of the APC’s National Assembly primary election for Osun Central as a reason for leaving the party, while reaffirming his candidacy for the 2027 Senate election.

Continue Reading

Trending