Melius, an AI platform specialising in the generation of ad campaigns, images, and videos, has announced it has raised $25 million in total funding. This includes a $20 million Series A round led by CRV, alongside a $5 million seed round led by General Catalyst.
The New York-based company claims to have reached over $1 million in annualized revenue within two months of emerging from stealth in July. Co-founder Joowon Kim noted that the company's initial product, an AI-powered performance marketing tool, was scrapped after more than six months of development.
Instead, Melius pivoted to focus on building tools for generating creative assets and campaigns, which Kim described as a larger opportunity. The company quickly developed an entirely new product, which it now calls an "agents lab for creative work."
Melius operates in a competitive market that includes Higgsfield, valued at $5.4 billion in August, and other startups such as Krea and Flora AI. Kim acknowledged the growth of competitors but stated that the market's size can support multiple players.