AI Gaming Startup Born Raises $15M for AI Companions

The Future of AI Companions: Fostering Connection, Not Isolation

Fabian Kamberi, the CEO and co-founder of Berlin-based AI gaming company Born, expresses concern that existing AI companions are often designed to exploit user vulnerabilities and encourage isolation through exclusive, one-on-one interactions with AI chatbots.

Kamberi articulated to TechCrunch that this approach appears to exacerbate feelings of loneliness rather than enhancing enjoyment or improving users’ lives.

A Vision for Shared Experiences

He posits that the evolution of AI companions should prioritize shared experiences that actively reinforce and strengthen real-world relationships.

Born’s primary offering is an application centered around nurturing, playing minigames with, and collaboratively raising a charming virtual pet named Pengu. This can be viewed as a generative AI-driven evolution of classic virtual pet concepts like Tamagotchi or Neopet, but crucially, it necessitates cooperation with another individual – a friend or partner.

The app operates on a freemium model, with users able to subscribe to a Pengu Pass for expanded functionality. While the app has garnered over 15 million users worldwide, Born has not yet revealed the number of paying subscribers, a key metric for any subscription-based service.

Social Interaction as a Core Component

The underlying principle of Pengu is that its social dimension transforms the pet into a collective endeavor, encouraging engagement with both the AI character and the user’s existing relationships.

Born is now preparing to introduce new characters to the Pengu app and is developing another social AI product specifically targeted towards younger demographics.

Investor Confidence in a Social AI Approach

Born’s belief that AI companions should be both entertaining and socially integrative has attracted significant investment. Formerly known as Slay, the startup has secured $15 million in Series A funding, bringing its total funding to $25 million, with participation from investors including Accel, Tencent, and Laton Ventures.

This concept builds upon the foundation of Slay, a social media platform for teenagers focused on positive reinforcement through compliments. The transition to Born’s AI companions maintains the core principle of fostering positive and socially engaging digital interactions.

Expansion and Future Development

With these new funds, Born intends to launch additional characters within the Pengu app, including a “cute” digital companion designed to also function as an educational tool. Kamberi stated this is planned.

The company is also establishing a New York office later this year, concentrating on marketing and advanced AI research. This research will focus on refining its character engine to ensure each AI friend develops a consistent personality, retains memory of interactions, and evolves alongside the user. Enrico Dal Re, Born’s head of finance, will oversee the U.S. expansion.

A New Product for Young Adults

Born is also developing a new AI social product aimed at individuals aged 16 to 21, although its apps are accessible to users as young as 13. Kamberi emphasized that Born primarily utilizes OpenAI’s generative AI models, supplemented by additional safety protocols.

Currently in stealth mode, this new product will enable users to create and interact with “culturally relevant AI companions that feel like genuine friends.” For instance, the bots could curate TikTok videos or Instagram Reels based on a user’s existing social media preferences, Kamberi explained.

Kamberi anticipates that this new product will generate “network effects” as users share their creations across social media platforms.

Beyond the Chatbot Paradigm

“We don’t consider the current chatbot landscape to be the ultimate form for AI friends and consumer AI,” Kamberi asserted. “There must be more engaging ways for consumer social AI to function than simply accessing a platform and texting a bot created by myself or another individual.”

Investor Perspective

Luca Bocchio, a partner at Accel, highlighted Born’s ambition to establish a new consumer social category centered around emotionally intelligent AI characters as a key factor in their investment.

“We have been greatly impressed by the team’s track record of developing successful apps and their inspiring product vision,” Bocchio said. “We look forward to continuing our partnership as they expand their global reach.”