Stability AI, the company that created the neural network for generating Stable Diffusion images, has reduced 10% of the staff, or about 20 people. This is reported by CNBC with reference to a letter for employees.
In a letter, the interim CEOs of Stability A, Shan Shan Wong and Christian LaForte, explained that the layoffs are part of a business restructuring. The company wants to reduce costs so that it can continue to work on innovative products.
Stability AI management announced layoffs to employees the day after the release of the Stable Diffusion 3 API.
Stability AI is going through difficult times right now. According to Forbes, many leading employees have left the company in recent months. In particular, at the end of March, founder and CEO Emad Mostaque left it, and a few days earlier, three of the five key researchers who stood at the origins of Stable Diffusion. The exodus of people may be related to the financial problems of the company. According to Forbes, the company's expenses significantly exceed revenues.