Key Points:
- Jasper, a writing assistant startup, has acquired Clipdrop from Stability AI, an AI-powered photo application.
- The acquisition marks Jasper’s expansion into serving corporate clients and represents a strategic shift for Stability AI.
- Clipdrop, founded in 2020 and based in Paris, had raised seed investment before being acquired by Stability AI in March 2023.
- Both Jasper and Stability AI are prominent players in generative AI, boasting valuations exceeding $100 million.
Jasper, a writing assistant startup based in the United States, has announced its acquisition of Clipdrop from Stability AI, an AI-powered photo application. The move signifies Jasper’s expansion into serving corporate clients and marks a strategic shift for Stability AI, known for its image generation AI model.
The terms of the deal were not disclosed, but it represents a reversal in strategy for Stability AI, which acquired Clipdrop less than a year ago. Emad Mostaque, CEO of Stability AI, stated in an email that the acquisition will enable the company to continue focusing on developing cutting-edge open models.
Clipdrop, founded in July 2020 and based in Paris, had raised seed investment from Air Street Capital before being acquired by Stability AI in March 2023. At the time of acquisition, Clipdrop boasted more than 15 million users, showcasing its popularity in the market.
Jasper and Stability AI are prominent players in generative AI, attracting users and investors alike. With valuations exceeding $100 million and substantial venture funding, they compete in a rapidly evolving landscape against other startups and major tech corporations.
The acquisition aligns with Jasper’s strategy to pivot towards serving enterprises rather than individual consumers, a shift that has seen layoffs and CEO changes in the past year. By incorporating Clipdrop into its platform, Jasper aims to enhance its offerings for corporate clients while maintaining Clipdrop as a standalone product.
