Wispr AI Inc., the developer behind the popular voice dictation tool Wispr Flow, is in talks to raise a new round of funding that could more than double its valuation to $2 billion, according to people familiar with the matter.

Menlo Ventures is set to lead the financing, said the people, who spoke on condition of anonymity as the information is not public. The funding is expected to total about $260 million, one of the people said. The deal isn’t finalized, and the terms could still change.

Wispr is part of a growing crop of startups using artificial intelligence to offer improved voice-to-text features that can be faster and more natural than typing out messages. Its product has gained traction with engineers, in particular, who use it to dictate prompts and questions to AI agents. Wispr is used by employees at Nvidia Corp., Amazon.com Inc. and other tech companies.

Representatives for Wispr and Menlo declined to comment.

Wispr relies on a mix of its own AI models and technology from leading artificial intelligence labs to build software that can handle complicated tasks from developers.

The startup has raised $81 million in funding to date, with its backers including Notable Capital and Flight Fund. Wispr was most recently valued at $700 million in November.