An AI company based in London that was founded in 2019 by Emad Mostaque and Cyrus Hodes. Stability AI made a name for itself in 2022 when it introduced its Dream Studio image generator that creates original images from a text prompt. Millions of people began using Dream Studio, and the company seemed unstoppable. See
Dream Studio.
Down and Back Up
In 2023, Hodes sued the company and Mostaque, claiming he was convinced to sell his stake before new funding was arranged. In addition, Getty Images sued for using millions of its photos without permission. By early 2024, the company's burn rate was very high and debt was mounting. Mostaque stepped down as CEO, and Stability AI seemed not so stable.
However, under the leadership of Prem Akkaraju, former CEO of Weta Digital, roughly $100 million of debt forgiveness, $80 million of new investment and a restructured board that included renowned filmmaker James Cameron, the company was reborn at the end of 2024. Stay tuned!