Goldman and Intel back $5.4bn AI video startup
Goldman Sachs and Intel have backed AI video maker Higgsfield in a $400m (£295m) funding round that has more than quadrupled the two-year-old company’s valuation since January. The fresh funding values the startup at $5.4bn, up from $1.3bn just eight months ago, as investors pile into companies looking to turn generative AI into products businesses [...]
Goldman Sachs and Intel have invested $400 million in AI video startup Higgsfield, which has seen its valuation soar from $1.3 billion to $5.4 billion in just eight months. The funding round, led by Higgsfield's founders Alex Mashrabov and Yerzat Dulat, brings the total backing to over 20 investors, including DST Global, Liberty Global, and several others.
Since launching its web-based video platform in 2025, Higgsfield has amassed more than 30 million users across 238 countries, with business customers now accounting for the majority of sales. The company's technology enables users to generate and edit videos using AI, such as transforming text and images into clips and controlling visual effects without traditional filming equipment.
With annual revenue reaching $700 million in August, Higgsfield plans to use the funds to expand its enterprise products and secure computing capacity for its AI models. The surge in investment reflects businesses' growing interest in adopting generative AI for creating content for social media and other marketing purposes. As competition intensifies in the AI-generated video space, Higgsfield faces stiff competition from rivals like OpenAI's Sora, Google's Veo, and specialized companies like Runway.
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