In recent years, AI has mainly referred to language models like chatbots and text generators that use large datasets.
However, these models have limitations when it comes to operating drones, robots, or autonomous systems in unpredictable environments.
They cannot adapt quickly, do not interact with their surroundings effectively, and find it hard to handle uncertainty.
Raised $8M funding
London-based Stanhope AI believes that’s the gap to solve. The deep tech startup has raised $8 million in seed funding to advance what it calls a “Real World Model,” a brain-inspired AI framework built to operate in dynamic, physical environments.
The round was led by Frontline Ventures, with participation from Paladin Capital Group and Auxxo Female Catalyst Fund. Existing investors UCL Technology Fund and MMC Ventures also followed on.
“We’re moving from language-based AI to intelligence that possesses the ability to act to understand its world – a system with a fundamental agency,” said Professor Rosalyn Moran, CEO and Co-founder of Stanhope AI. “Our approach doesn’t just process words, it understands context, uncertainty, and physical reality.”
From language AI to acting AI
Stanhope AI is a London-based, deep-tech startup, a spin out from University College London and King’s College London, co-founded by neuroscientists Professor Rosalyn Moran, and Professor Karl Friston.
The company’s brain-inspired paradigm, known as ‘Active Inference’, allows machines to learn and adapt on the fly, which is a crucial capability missing from LLM-based systems that rely on large static data sets.
Stanhope AI’s technology is already being tested in autonomous drone and robotics applications with international partners, teaching machines to behave more intelligently in unpredictable, real-world environments.
Stanhope AI’s systems are being tested in autonomous drone and robotics applications with international partners. The aim is to enable machines to behave intelligently in uncertain, rapidly changing environments.
“The future of physical AI demands systems that can truly adapt in real-time. The team at Stanhope AI are bringing a unique scientific approach to deliver exactly that, and are already proving themselves in high-stakes, real-world applications,” said Zoe Chambers, Partner at Frontline Ventures. “Their pace of execution, from academic research papers to a system that works safely at the edge, is both rare and deeply significant.”
“We are excited to support Stanhope AI as they redefine the boundaries of machine intelligence,” added Christopher Steed, Chief Investment Officer and Managing Director at Paladin Capital Group. “Their technology showcases the next evolution of AI – intelligent systems that can operate with autonomy, efficiency, and resilience across real-world domains. This aligns strongly with our mission to back innovations that strengthen and secure critical technologies globally.”
