Stability CEO resigns from generative AI company

State of play: The company's board has appointed chief operating officer Shan Shan Wong and chief technology officer Christian Laforte as interim co-CEOs.

What they're saying: In a statement, Mostaque said he was "proud ...to have led Stability to hundreds of millions of downloads and the best models across modalities. I believe strongly in Stability AI's mission and feel the company is in capable hands. It is now time to ensure AI remains open and decentralised."

• In a post on X, Mostaque added he was "all in" on decentralization efforts, adding that you can't "beat centralized AI with more centralized AI."

Flashback: Late last year, the company was reportedly exploring a possible sale and at least one investor, Coatue, was calling for Mostaque's resignation.

• Forbes and Bloomberg earlier on Friday reported on Mostaque's plans to resign.

The big picture: Stability AI is a co-creator of Stable Diffusion, a popular AI-based image generator.

• In October 2022, the company raised $101 million in a new round of funding at a reported valuation of more than $1 billion. It has since been rumored to be seeking more funding at a $4 billion valuation.