Reported 11 months ago
Cash-strapped Stability AI has raised about $80 million in funding and appointed industry veteran Prem Akkaraju as the new CEO. The company, known for its generative AI tools, received investments from Coatue Management, Lightspeed Venture Partners, and former Google CEO Eric Schmidt. Stability AI also introduced former Facebook President Sean Parker as the executive board chairman. The investors have agreed to forgive around $100 million in debts and $300 million in future obligations. The company, which initially achieved a $1 billion valuation in 2022, encountered challenges in securing additional funds, leading to the departure of the founder and former CEO Emad Mostaque. With the restructuring process, Stability AI is moving forward under the leadership of CEO Akkaraju.
Source: YAHOO