Stability AI raises $76 million in Series B funding led by entertainment industry backers

Stability AI, the company behind the Stable Diffusion image generator, announced a $76 million Series B funding round led by investors from the entertainment industry. The round increases the company’s total funding to $232 million, according to a report by TechCrunch.

The funding round included investments from Universal Music Group, Sony Music Group, Warner Music Group, and gaming company Electronic Arts (EA). Two investment firms, AMD Ventures and Pacific Alliance Ventures, also participated in the round.

Stability AI plans to use the new capital to expand its "creative production" product suite and grow its professional services arm. The company currently offers AI models for music, video, and image generation.

Stability AI has pursued partnerships with entertainment companies to integrate its generative AI tools into their creative workflows. The company announced collaborations with Universal Music and EA in October 2025 and with Warner Music in November 2025, focusing on co-development rather than licensing.

The company has also faced legal challenges, including a copyright lawsuit from Getty Images in the United Kingdom, where a judge largely ruled in Stability AI’s favor. A similar lawsuit from Getty in the U.S. remains ongoing.

Stability AI was also involved in a 2023 lawsuit from its co-founder, Cyrus Hodes, who alleged he was misled into selling his stake in the company.