Melius Raises $25 Million After Pivot to AI Ad Generation
Updated
Updated · TechCrunch · Oct 6
Melius Raises $25 Million After Pivot to AI Ad Generation
1 articles · Updated · TechCrunch · Oct 6
Summary
$25 million in funding gives Melius fresh backing for its AI platform that generates ad campaigns, images and videos, including a $20 million Series A led by CRV and a $5 million seed round led by General Catalyst.
More than six months into its first product, the New York startup abandoned an AI performance-marketing tool, scrapped its codebase and rebuilt around creative asset generation after deciding the original idea lacked viability.
Melius says that new platform topped $1 million in annualized revenue within two months of emerging from stealth in July, suggesting early demand for what it calls an “agents lab for creative work.”
The company is entering a crowded market that includes Higgsfield, valued at $5.4 billion in August and reporting more than $700 million in annualized revenue, though Melius argues the category is large enough for multiple winners.