Nous Research raises $90M at $1.5B valuation to bring open-source AI agent to enterprises

Who led the $90M round and what it means for valuation

Nous Research has closed a $90 million Series B funding round, according to reports from The Wall Street Journal, TechCrunch, and SiliconANGLE. The round values the company at $1.5 billion, a significant milestone for the startup, which was formed in 2023 to counter centralized AI trends.

Robot Ventures led the round, with participation from Nvidia, Microsoft’s M12, Samsung, Union Square Ventures, Y Combinator, Menlo Ventures, and 1789 Capital. The involvement of major tech players like Nvidia and Microsoft underscores the growing interest in open-source AI infrastructure and enterprise-grade AI agents.

Why Hermes became a focal point for investors

Hermes, Nous Research’s open-source AI agent, has gained widespread adoption since its release in February 2026. The agent has been cloned over 24 million times and drives approximately 2.5% of global AI token usage, according to the company’s internal estimates. Sources like The Next Web and SiliconANGLE highlight its popularity among developers and enterprises.

Hermes is designed to learn from user interactions, create reusable skills, and retain project knowledge across sessions. It operates on macOS, Windows, and Linux, and integrates with platforms like Telegram, Slack, and WhatsApp. The agent’s open-source nature has also fostered a community of thousands of contributors, enhancing its capabilities and reach.

How Nous Research plans to monetize Hermes

With the new funding, Nous Research aims to expand "Hermes for Businesses," an enterprise-focused version of its AI agent. According to reports from TechCrunch and THE BRIDGE, this version will allow companies to customize AI agents for multi-step workflows while maintaining data privacy and security.

Hermes for Businesses will enable teams to share a single AI environment, with skills created by individual users automatically propagating across the organization. The product is available in three paid editions: Hermes Cloud, Hermes Business, and Hermes Enterprise. The latter two include features like team-level token use limits and the ability to share agent customizations among colleagues.

Nous Research reported $36 million in annualized revenue as of mid-September 2026 and expects to surpass $100 million by the end of the year, per SiliconANGLE.

The technology behind Hermes

Hermes is built on a foundation of large language models (LLMs) fine-tuned by Nous Research. The company’s latest LLMs, part of the Hermes 4 series, were trained using a dataset of 5 million synthetically generated records, two-thirds of which were designed to enhance reasoning capabilities. DataForge, a custom tool developed by Nous, was used to generate this training data.

The agent includes a router that directs user prompts to the most suitable LLM based on factors like cost, speed, and output quality. It also features a built-in personalization module, allowing responses to be tailored to user preferences. Users can further enhance personalization by connecting Hermes to external databases like RetainDB, enabling cross-session retention of preferences and project data.

Competition and market context

Nous Research is entering a competitive landscape for AI agents, with players like Meta and Nvidia also developing enterprise solutions. Meta recently launched its Muse agent, while Nvidia has built an enterprise platform on the open-source OpenClaw agent. Instinct, another competitor, raised $1 billion at a $10 billion valuation for an agent focused on restaurant bookings.

Despite the competition, Nous Research’s open-source approach and rapid adoption of Hermes give it a unique position in the market. The company’s ability to monetize through enterprise offerings while maintaining an open-source ecosystem could set it apart from closed, proprietary solutions.

Background: Nous Research’s origins and mission

Nous Research was founded in 2023 with a mission to counter the trend toward centralized, closed-off AI systems. The company began by fine-tuning Meta’s Llama models to align with user preferences and published YaRN, a method for extending the context windows of open models at lower costs.

The release of Hermes in February 2026 marked a turning point for the company, demonstrating the potential of open-source AI agents in both consumer and enterprise applications. Since then, Hermes has become a key player in the AI agent space, driving significant token usage and attracting a large developer community.

What this means

Lazyfounder analysis — our interpretation, not reported fact.

Nous Research’s $90 million funding round and $1.5 billion valuation reflect the growing demand for open-source AI agents that can be customized for enterprise use. The success of Hermes—cloned over 24 million times and accounting for 2.5% of global AI token usage—shows that open-source AI is not just a niche play but a viable alternative to closed systems. For founders and operators, this story underscores three key insights:

First, open-source AI can achieve scale and monetization without relying on proprietary lock-in. Hermes’s adoption demonstrates that developers and enterprises are hungry for flexible, transparent solutions, even in a market dominated by Big Tech. The challenge lies in converting that adoption into revenue, which Nous Research is tackling with its paid enterprise editions.

Second, enterprise AI is becoming a battleground for customization and privacy. Hermes for Businesses is positioned as a solution that lets companies own their AI workflows and data, a compelling pitch in an era of increasing regulatory scrutiny and data sovereignty concerns. Founders should note that enterprise buyers are prioritizing control and security over black-box solutions.

Finally, synthetic training data and reasoning-focused LLMs are proving their worth. Nous Research’s use of 5 million synthetic records to enhance Hermes 4’s capabilities aligns with a broader trend of using AI to train AI. This approach can accelerate innovation, but founders must ensure their models remain reliable and unbiased—especially in enterprise contexts where stakes are high.

Key takeaways

• Open-source AI agents are gaining traction, with Hermes demonstrating significant adoption and usage in both consumer and enterprise markets.
• Enterprise-focused AI solutions prioritizing data privacy and customization are attracting substantial investment.
• Large language models (LLMs) with synthetic training data and reasoning enhancements can drive rapid revenue growth.
• Startups leveraging open-source ecosystems can achieve scale quickly, but monetization requires clear enterprise offerings.
• Investor interest in AI infrastructure and agents remains strong, particularly from major tech players like Nvidia and Microsoft.

FAQ

What is Hermes, and why is it significant?

Hermes is an open-source AI agent developed by Nous Research. It has been cloned over 24 million times and drives approximately 2.5% of global AI token usage. Its significance lies in its ability to learn from user interactions, create reusable skills, and retain project knowledge, making it a powerful tool for both developers and enterprises.

Who are the key investors in Nous Research’s $90M round?

The Series B round was led by Robot Ventures, with participation from Nvidia, Microsoft’s M12, Samsung, Union Square Ventures, Y Combinator, Menlo Ventures, and 1789 Capital.

How does Hermes for Businesses differ from the open-source version?

Hermes for Businesses is an enterprise-focused version of the AI agent, designed to handle multi-step workflows while keeping data private and secure. It allows teams to share a single AI environment, with skills created by individuals automatically propagating across the organization. It is available in paid editions with additional features like team-level token use limits.

What is Nous Research’s revenue outlook?

Nous Research reported $36 million in annualized revenue as of mid-September 2026 and expects to surpass $100 million by the end of the year.

How does Hermes compare to other AI agents like Meta’s Muse or Instinct?

Hermes differentiates itself through its open-source nature, allowing for greater customization and transparency. Unlike Meta’s Muse or Instinct’s proprietary agents, Hermes’s open ecosystem has fostered rapid adoption and a large contributor community, positioning it as a flexible alternative for enterprises.

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