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Industry Trends

Factory's Matan Grinberg: The Coming ‘Dark Factory’ Where Software Builds Itself

Sequoia Capital · Jul 21, 2026 · Industry Trends

Factory's CEO envisions a 'dark factory' where software autonomously builds itself without human intervention

“we were focused on fully autonomous agents but engineers weren't ready procurement teams at the enterprise weren't ready”

Factory co-founder Matan Grinberg describes the company's three-and-a-half-year journey building autonomous software development agents, noting they were ahead of enterprise readiness for the first two years. Now emerging as a competitor to Claude Code and Codex, Factory is positioned around the thesis that fully autonomous 'dark factory' software production is the end state. The interview signals enterprise appetite for agentic coding tools has materially shifted, validating early bets on full autonomy over copilot-style assistance.

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