Stability AI
Unicorn · $1BLondon · Founded 2020 · Delaware corporation · 191 employees on LinkedIn · 19 known investors
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Stability AI develops generative AI products for creating audio, image, video, and 3D content. The company serves creative professionals, artists, and enterprises in music, gaming, entertainment, and marketing.
Also known as Stability AI Ltd · stabilityai
Founders & leadership
Stability AI was founded in 2020 by Mohammad Emad Mostaque.
Board
Investors · 19
Also in the syndicate · 7
Reported raises · per SEC filings
Form D private placements$76.3M disclosed across 1 of 4 rounds · 2022–2026
▶$76.3MraisedOct 2022 · 49 investors · Other TechnologyRule 506(b)
- Peter O'DonoghueDirector
- Zehra QureshiDirector
- Sri ViswanathDirector
- James P. O'ShaughnessyDirector
- Mohammad Emad MostaqueExecutive Officer, Director
- Offering amount
- $81.3M
- Amount sold
- $76.3M
- First sale
- Sep 2022
- Incorporated
- Corporation, Delaware, 2020
- Federal exemptions
- 06b
Source: SEC EDGAR Form D. Amounts as filed; amended filings shown once at their latest values.
Valuation · disclosed
Disclosed eventsSource: SEC prospectus filings, and round valuations the company or its investors disclosed — follow each entry's link for the claim.
Company profile
researched Aug 2026Stability AI Ltd is a London-headquartered artificial intelligence company best known for Stable Diffusion, the text-to-image model it released in August 2022. Beyond image generation, the company develops model families across video (Stable Video Diffusion), audio (Stable Audio, including Stable Audio 3.0), 3D and 4D (Stable TripoSR, Stable Point Aware 3D, Stable Fast 3D, Stable Video 3D, Stable Video 4D, Stable Zero 123), and text and code (Stable LM 2, Stable Code). Many model weights are published openly; the company's Hugging Face organization lists more than 100 models and 15 demo spaces, and its models are also distributed through third-party inference platforms such as Replicate and Amazon Bedrock.
The company positions itself as an enterprise-facing creative technology provider, targeting marketing, gaming and entertainment workflows. It markets image generation and editing tools for on-brand campaign assets, 3D and 4D video models for game world-building, and image and video tools spanning storyboarding through color grading. Delivery options include self-hosted deployment licenses, a managed application called Brand Studio for enterprise creative teams, an API, and a cloud service. Referenced customer examples include HubSpot, Mercado Libre and Stride Learning.
Stability AI has increasingly oriented its roadmap around licensed training data and rights-holder partnerships, releasing Stable Audio 3.0 in May 2026 as a model family trained on fully licensed data, and signing co-development agreements with Universal Music Group, Warner Music Group and Electronic Arts before those companies invested in its 2026 Series B.
Founding story
Founded in 2019 by Emad Mostaque and Cyrus Hodes. The company rose to prominence in August 2022 with the release of Stable Diffusion, whose source and weights were made available publicly.
Business model
Stability AI monetizes its generative media models through multiple enterprise delivery channels: self-hosted deployment licenses for customers who want to run models in their own environment, a managed creative production application (Brand Studio) for enterprise teams, a hosted API for media generation and editing, and a cloud service. It also co-develops models with rights holders such as Universal Music Group, Warner Music Group and Electronic Arts using those companies' catalogues and intellectual property, and states it is expanding a professional services arm alongside its creative production product suite.
Licensing and subscription-style plans across self-hosted model licenses, the Brand Studio application, API access and a cloud service, complemented by professional services.
Traction
Models are widely used on third-party platforms: Replicate reports 111.1M runs for Stable Diffusion, 86.2M for SDXL, 21.2M for Stable Diffusion inpainting, 2.1M for SD3.5 Large and 86.4K for Stable Audio 2.5. On Hugging Face, the Stable Audio 3 2B post-trained model shows 58.6K downloads. Customer examples include HubSpot image generation, Mercado Libre reporting 25% higher click-through rates on product visuals, and Stride Learning launching a storytelling app in six months using Stable Diffusion on Amazon Bedrock at 1,000+ images per minute. Total funding reached $232 million as of August 2026.
Latest developments
On May 20, 2026 the company released Stable Audio 3.0, a model family trained on fully licensed data with open weights, followed on August 18, 2026 by a DAW plugin and an advanced generation experience on StableAudio.com. On August 25, 2026 it announced a $76 million Series B from Universal Music Group, Sony Music Group, Warner Music Group, Electronic Arts, AMD Ventures and Pacific Alliance Ventures, with returning backers including Greycroft, Kadmos Capital, Coatue, Eric Schmidt and Sean Parker; Coatue co-founder Thomas Laffont joined the board. Proceeds are earmarked for the creative production product suite and an expanded professional services division. In November 2025 the High Court of England and Wales ruled that Stability AI was not guilty of copyright infringement in Getty Images' UK case.
▸Full profile — market position, technology, go-to-market, geography, history, risks & controversies
Market position
An early and widely recognized player in open generative media models; Stable Diffusion's 2022 release brought the company to prominence, and its models have accumulated large usage on third-party platforms (e.g., 111.1M runs of Stable Diffusion and 86.2M runs of SDXL on Replicate). The company differentiates from generalist AI labs by focusing on creative tooling built with artists, studios and rights holders.
Open-weight model releases across multiple modalities, commercially oriented licensing of models trained on licensed data (Stable Audio 3.0), and deep co-development relationships with music labels and game publishers rather than output-licensing alone.
Technology
Generative media models spanning text-to-image (Stable Diffusion, including SD3, SD3.5 Medium/Large/Large Turbo), video (Stable Video Diffusion), audio (Stable Audio 2.5 and the Stable Audio 3.0 family, with 0.6B and 2B parameter checkpoints and optimized fp8 variants), 3D and 4D (TripoSR, Stable Point Aware 3D, Stable Fast 3D, Stable Video 3D/4D, Stable Zero 123), and language and code models (Stable LM 2, Stable Code). Weights are published on Hugging Face, and the company has published research on image layer decomposition fine-tuning and KV-cache quantization. Stable Audio 3.0 was trained on fully licensed data and is offered with open weights, a DAW plugin and a web generation experience at StableAudio.com.
Go-to-market
Direct enterprise sales across marketing, gaming and entertainment verticals combined with open model distribution: weights and demos on Hugging Face, hosted model endpoints on Replicate, availability via Amazon Bedrock, and a self-serve API and cloud service. Strategic partnerships with rights holders and platform vendors (Universal Music Group, Warner Music Group, Electronic Arts, Arm) serve both as distribution and as co-development channels.
Enterprise creative and production teams in marketing, gaming and entertainment, plus developers and the open-model community; cited users include HubSpot, Mercado Libre and Stride Learning.
Geography
Headquartered in London, England, UK, serving customers worldwide; the company previously had an office in Freiburg im Breisgau, Germany.
History
After the 2022 Stable Diffusion release, Stability AI raised $101 million in October 2022 led by Coatue and Lightspeed Venture Partners with O'Shaughnessy Ventures participating. Financial difficulties in 2023 preceded employee departures from the Freiburg office, several of whom founded Black Forest Labs in 2024. Emad Mostaque stepped down as CEO on March 23, 2024, with COO Shan Shan Wong and CTO Christian Laforte named interim co-CEOs. On June 25, 2024, former Weta Digital CEO Prem Akkaraju was appointed CEO alongside a new investment round from Greycroft, Coatue Management, Sound Ventures, Lightspeed Venture Partners and O'Shaughnessy Ventures, with Sean Parker joining the board as Executive Chairman. James Cameron joined the board on September 24, 2024. In 2026 the company released Stable Audio 3.0 and closed a $76 million Series B backed by entertainment and gaming companies.
Risks & controversies
Getty Images filed copyright suits in the High Court of England and Wales and in the U.S. District Court for the District of Delaware, the latter alleging misuse of over 12 million photos to train Stable Diffusion; the UK case was decided largely in Stability AI's favor in November 2025 while the U.S. case remains pending. In July 2023 co-founder Cyrus Hodes sued CEO Emad Mostaque and the company in the U.S. District Court for the Northern District of California alleging fraud, misrepresentation and breach of fiduciary duty over the sale of his 15% stake for $100, and alleging misuse of company funds for personal expenses. The company also experienced financial problems in 2023 that led to staff departures and the closure-related exit of its Freiburg team, and leadership turnover with Mostaque's March 2024 resignation.
Compiled by commissioned research from 8 cited public sources — announcements, filings, and press listed under research sources below.
Key figures
latest reportedCompany-reported or press-reported figures, each dated to when it was claimed — not independently audited.
Founder mafia
The Stability AI mafia →12 people who came through Stability AI went on to found or lead other companies.
Competitors · 7
by search overlapCompanies competing with Stability AI for the same Google search keywords, organic and paid, via search-intersection analysis.
Acquisitions · 1
Early investors' stakes continue via these dealsClipdrop offers AI-powered image editing tools including background removal, object cleanup, image upscaling, and text-to-image generation. The platform serves creators and developers through both direct web tools and an embeddable API for product integration.
Timeline · 13
launches, deals, and filingsSeries B of $76 million from Universal Music Group, Sony Music Group, Warner Music Group, Electronic Arts, AMD Ventures and Pacific Alliance Ventures, with returning investors Greycroft, Kadmos Capital, Coatue, Eric Schmidt and Sean Parker. Total funding reached $232 million. Proceeds are for the creative production product suite and expansion of professional services.
$76M source ↗
Coatue co-founder Thomas Laffont joined Stability AI's board in connection with the Series B.
Two new ways to use Stable Audio 3.0: a DAW plugin and a more advanced generation experience on StableAudio.com.
Stable Audio 3.0, an open-weight model family trained on fully licensed data, released for the audio community.
Collaboration to optimize the text-to-audio model Stable Audio Open for mobile devices powered by Arm CPUs.
Agreement for Warner Music to help co-develop Stability AI models.
The High Court of England and Wales ruled that Stability AI was not guilty of copyright infringement despite using Getty Images material as a training set; a parallel Getty case in the United States remains pending.
Agreements under which UMG and EA co-develop Stability AI tools using their catalogues and intellectual property rather than only licensing outputs.
Filmmaker and visual effects pioneer James Cameron joined Stability AI's board of directors.
Former Weta Digital CEO Prem Akkaraju was named CEO alongside a new investment round; Sean Parker joined the board as Executive Chairman.
Co-founder Emad Mostaque resigned as CEO; the board appointed COO Shan Shan Wong and CTO Christian Laforte as interim co-CEOs.
Hodes filed suit in the U.S. District Court for the Northern District of California alleging fraud, misrepresentation and breach of fiduciary duty over the sale of his 15% stake for $100.
Stability AI released its source- and weights-available text-to-image model Stable Diffusion.
Dated company events from announcements, filings, and press; legal rows summarize public dockets and regulator releases.
Legal entities · 1
corporate structureIn the news
▸Research sources · 8
primary sources listed
- Stability AIstability.ai · web
8 public sources were cited for this profile; the first-party ones are listed here.
Frequently asked questions
- What does Stability AI do?
- UK generative AI company behind Stable Diffusion, building image, video, audio and 3D models for creative and enterprise work.
- Who founded Stability AI?
- Stability AI was founded by Mohammad Emad Mostaque in 2020.
- Who are Stability AI's investors?
- Stability AI's investors include Greycroft, Lightspeed Venture Partners, A.Capital Ventures, Betaworks, Coatue Management, Lemniscap, Mantis Capital, Samsung Next and 4 more.
- How much funding has Stability AI raised?
- Stability AI has disclosed $76.3M raised across 1 of its 4 known rounds.
- Where is Stability AI headquartered?
- Stability AI is headquartered in London.



















