Grok’s image generator, Black Forest Labs, is raising $100M at a $1B valuation, say sources

Sep 21, 2024

Black Forest Labs is raising $100M at a $1B valuation, with Elon Musk’s X.ai using its Flux.1 model. Founders include former Stability AI engineers.

Grok’s image generator, Black Forest Labs, is raising $100M at a $1B valuation, say sources

: Black Forest Labs is closing a $100 million funding round at a $1 billion valuation. The company, co-founded by Stability AI engineers like Robin Rombach, has captured interest due to its Flux.1 text-to-image model used by Elon Musk's X.ai. Previous backers include Andreessen Horowitz and General Catalyst. Future plans involve launching a state-of-the-art text-to-video tool.

Black Forest Labs is securing $100 million in new funding, raising its valuation to $1 billion. The startup, founded by Stability AI engineers including CEO Robin Rombach, has drawn attention due to its Flux.1 text-to-image model, which is utilized by Elon Musk's X.ai chatbot for generating audacious results.

The company's earlier $31 million round attracted high-profile investors such as Andreessen Horowitz, General Catalyst, and Nvidia’s Timo Aila. Investors attribute their interest to the expertise of the founding team, which is considered a game-changer in image diffusion models and generative AI.

Despite the general challenges in the generative AI market, Black Forest Labs plans to launch a text-to-video tool soon. The company aims to avoid problems faced by other AI startups by staying relatively secretive and avoiding overexposure. Lightspeed might participate in the latest funding round, though it remains unconfirmed.