Per Woofun AI, Sand.ai has finalized two financing rounds totaling more than $100 million, with participation from Look Capital, Baidu Ventures, IDG, and other prominent institutions. StarrySky Capital acted as the financial advisor for this capital raise, which underscores strong institutional confidence in the company’s non-consensus technical direction.

Founder Cao Yue emphasized a strategic pivot toward autoregressive video generation rather than the industry-standard diffusion approach. This methodology aims to resolve the trade-offs between cost, speed, and quality by leveraging a Mixture of Experts (MoE) architecture. The team plans to open-source this next-generation model in July 2026, targeting efficient inference at scale.

Meanwhile, their commercial arm VidMuse has already generated $10 million in annual recurring revenue within two months, while their MagiAttention library receives official NVIDIA endorsement.