AI has made it easier than ever to build a website. Native mobile apps have been a different story - until now.
Stockholm-based startup Newly has officially launched its AI-powered platform for no-code native mobile app development, alongside announcing a $2 million funding round to accelerate growth. The company is targeting one of the last major bottlenecks in software development: the complexity of building fully functional, compliant iOS and Android applications without specialized engineering teams.
What Newly Actually Does
Newly's platform uses agentic AI systems to automate both the frontend and backend of mobile app development, while embedding app store compliance requirements from the start. The practical pitch from CEO Timothy Lindblom is direct: the platform compresses development timelines from months to hours.
That is a significant claim in a market where native mobile development has historically required specialized expertise, significant budgets, and long lead times. Building for iOS and Android simultaneously, navigating app store submission requirements, and maintaining performance at scale has kept mobile development out of reach for most small teams and solo founders - even as web development became dramatically more accessible through no-code tools.
Newly's platform is designed to close that gap. Users can move from concept to an App Store-ready product without writing code, with the agentic AI handling the technical work that previously required a dedicated engineering team.
Who Is Backing It
The $2 million round was led by PSV Tech, with participation from Karaoke Club, Wave Ventures, Inception Fund, Foundry Ventures, and Tiny Supercomputing Investment Company. The angel investor lineup includes notable names: Sebastian Knutsson of King, Peter Carlsson from Northvolt, Fredrik Björk of Grafbase, and several others with deep roots in the European tech ecosystem.
Christian Dalsgaard, Investment Manager at PSV Tech, framed the opportunity clearly: AI has dramatically lowered the barrier to building software, but native mobile app development has remained one of the last major bottlenecks. The investor noted that teams can now go from idea to a production-ready native app faster than previously possible, opening the category to a much wider range of builders.
The Broader Market Context
The timing is not accidental. Gartner projects that low-code and no-code development tools will account for 75% of new application development by 2026, up from 40% in 2021. Meanwhile, 84% of enterprises have already adopted these platforms to reduce IT backlogs. The market for low-code tools is projected to grow from $37 billion in 2025 to over $264 billion by 2032.
Where Newly differs from the existing wave of AI app builders - tools like Lovable, Cursor, and others - is its specific focus on native mobile rather than web applications. Most current platforms excel at generating web apps, landing pages, and SaaS tools. Native mobile has remained a harder problem, and one that fewer players have tackled directly.
What Comes Next
Newly plans to use the fresh capital to expand beyond mobile into additional native formats, including desktop software, augmented reality experiences, and wearable applications. The ambition is to build a broader AI-driven development ecosystem, not just a mobile-specific tool.
For business leaders and entrepreneurs who have been waiting for AI to make mobile app development as accessible as building a website, Newly's launch is worth watching. The no-code wave that reshaped web development over the last five years is arriving on mobile - and this funding round signals that serious capital is starting to take the opportunity seriously.
