Stability AI Raises $76M Series B as Entertainment Backers Line Up Behind Creative AI Tools

Stability AI, the startup behind the Stable Diffusion AI image generation model, has raised $76 million in Series B funding. TechCrunch reports that the new round brings the company’s total fundraising to $232 million.

The funding was announced Tuesday and adds fresh capital as Stability continues building tools for creative production.

The round included prominent entertainment industry names: Universal Music Group, Sony Music Group, Warner Music Group, and Electronic Arts. AMD Ventures and Pacific Alliance Ventures also participated.

That mix is notable because several of the backers are also companies tied to content licensing, distribution, and creative workflows where generative AI tools may be used.

Stability AI says it plans to use the funding to keep expanding its “creative production” product suite and its professional services arm. The company currently offers AI models for music, video, and image generation.

CEO Prem Akkaraju, who joined the company in 2024, described the funding as support for a vision in which generative AI empowers producers, musicians, and storytellers.

Founded in 2019, Stability AI has been signing deals intended to bring generative AI into entertainment companies’ creative workflows. TechCrunch notes partnerships with Universal Music, EA, and Warner Music that give those companies a role in co-developing Stability’s tools.

The company has also faced legal scrutiny. It largely prevailed in a U.K. copyright lawsuit brought by Getty Images, while a similar Getty lawsuit in the U.S. is still moving through the courts; Stability was also sued in 2023 by co-founder Cyrus Hodes over allegations related to the sale of his stake.