An annualized revenue run rate of 500 million, a pre-money valuation of 5 billion—AI video is burning real money for real.

Coin World News, Higgsfield AI is in talks with investors to raise between $300 million and $500 million at a pre-money valuation of $5 billion, which is more than four times its valuation during its funding round in January of this year. Founded in 2023, the company has achieved an annualized revenue run rate of $500 million, 2.5 times the $200 million run rate in January. Higgsfield AI primarily offers an AI image and video generation platform with subscription prices ranging from $19 to $99 per month, and recently launched a marketing agent called Supercomputer. The company initially relied mainly on individual creators, but now 70% of its platform activity comes from enterprise clients. Google recently invested approximately $75 million in film studio A24 for AI collaboration, and another video generation company, Runway, completed a $315 million funding round in February of this year at a valuation of $5.3 billion.