The company, based in Mountain View, California, operates at the intersection of AI and gaming. It has developed a "Character Engine" that uses multiple machine-learning models to create non-playable characters for gaming and other interactive experiences. Despite a slowdown in VC interest in gaming this year, Inworld AI's platform's potential applications in the gaming industry could spur more investment.
Key takeaways:
- Inworld AI, a company that uses generative AI to help developers create smart characters, has closed a funding round at a $500 million valuation. The round was reported to be $30 million and included investors such as Lightspeed Venture Partners, Stanford University, First Spark Ventures, Samsung Next, and LG Technology Ventures.
- The company has raised more than $100 million since its founding in 2021 and has developed a "Character Engine" for creating non-playable characters for gaming and other interactive experiences using multiple machine-learning models.
- Despite Inworld AI's success, funding for U.S.-based gaming startups has slowed, with just over $400 million invested so far in 2023, a significant decrease from the $5 billion invested in 2021 and $3.8 billion in 2022.
- Inworld AI's co-founder and CEO, Ilya Gelfenbeyn, stated that the financial runway allows the company to take a long-term view in supporting the developer community and staying ahead in the generative AI landscape.