Snap spins off AI video team into new company, Dotmo, due to costs
TechCrunch
Snap is spinning off its internal AI video team into a new, independent venture named Dotmo to reduce internal operational costs.Summary
Snap is spinning off its generative AI video team into a new, independent company called Dotmo to mitigate the high costs of internal development. While Dotmo will operate separately, it will maintain ties to Snap through a technology licensing agreement and a significant equity stake held by Snap. Bobby Murphy, Snap's CTO, will serve as the lead investor in the new firm while continuing his full-time role at Snap. This move, which follows a similar spinoff of the company's smart glasses division, allows Snap to reduce financial burdens while retaining potential upside from the new venture.
(Source：TechCrunch)