AvatarFX by Character.AI introduces advanced video generation capabilities, enabling users to create photorealistic videos with expressive movements and audio from pre-existing images. The technology employs flow-based diffusion models and a sophisticated data pipeline to achieve high-quality, diverse video outputs while prioritizing safety measures against misuse. CAI+ subscribers will get early access to these features as they are integrated into the Character.AI platform.

Character.AI is considering either a sale or new funding options to address increasing operational costs. The company, known for its AI-driven character interactions, is evaluating its financial strategies in the face of rising expenses and market competition.

Character.AI is considering a sale or pursuing new funding due to increasing operational costs. The company has gained popularity for its AI-driven character interactions, but it faces challenges in sustaining its business model amidst rising expenses.