Prime Highlights:
- World Labs raised $1 billion in funding, including $200 million from Autodesk, showing strong industry confidence.
- The partnership will combine 3D environment tools with Autodesk’s design software, starting with media and entertainment use cases.
Key Facts:
- The funding round attracted major investors like Nvidia, AMD, Fidelity, and Emerson Collective.
- Founded by Fei-Fei Li, World Labs launched in 2024 with $230 million and a $1 billion valuation, with reports suggesting a possible $5 billion target.
Background:
World Labs has raised $1 billion in fresh funding, including a $200 million strategic investment from design software leader Autodesk, marking one of the largest AI financing rounds this year. The round also drew backing from AMD, Emerson Collective, Fidelity and Nvidia, among others, strengthening the startup’s position in the fast-growing spatial AI market.
The investment sets the stage for a new partnership between World Labs and Autodesk aimed at bringing advanced “world models” into mainstream 3D design workflows. World models are AI systems that generate and reason about immersive three-dimensional environments. The two companies plan to begin their collaboration with media and entertainment use cases, with Autodesk serving as both investor and adviser.
World Labs, founded by Fei-Fei Li, came out of stealth in 2024 with $230 million in funding and a valuation of $1 billion. The company has not confirmed its latest valuation, but earlier reports suggested it was aiming for around $5 billion. Its first commercial product, Marble, allows users to create, edit and download 3D environments using AI prompts.
Autodesk develops widely used computer-aided design tools that support architecture, engineering, construction, manufacturing and entertainment industries. Company executives said the move into spatial AI aligns with its long-term strategy to deepen artificial intelligence across its product portfolio. Daron Green, Autodesk’s chief scientist, said the partnership remains in early stages, but both sides expect technical collaboration at the research and model level. He clarified that the agreement does not involve data sharing.
Executives envision designers sketching immersive layouts in World Labs’ system and refining detailed elements through Autodesk software. Conversely, objects created in Autodesk platforms could be placed inside AI-generated worlds for testing and visualization.
Autodesk is also advancing its own “neural CAD” technology, a generative AI model trained on geometric data that can produce functional 3D designs. By combining neural CAD, large language models and world models, the company aims to create smarter systems that understand geometry, physics and real-world dynamics, pushing AI beyond text into fully interactive digital environments.