AI startup Midjourney is expanding its operational scope beyond image and ultrasound generation by acquiring the astrology app Co-Star. While the financial details of the spring deal remain undisclosed, the acquisition signals a strategic shift toward mobile application development for the company.
Strategic Acquisition
Midjourney has officially announced its purchase of Co-Star, a free service providing daily horoscopes and friend compatibility checks. The app currently utilizes a blend of AI, NASA data, and human insight to generate personalized user advice. This acquisition marks a departure from Midjourney's previous focus on generating visual content such as cat images and body scans, moving the firm into the astrology sector.
Midjourney, which has gone from generating AI cat images to full-body ultrasound scans, is getting into a new field: astrology. The AI startup announced on Thursday that it has acquired the personalized astrology app Co-Star, as reported earlier by Bloomberg.
Co-Star is a free app that offers daily horoscopes and allows you to check your compatibility with friends. As noted on the app's FAQ page, it combines human insight, data from NASA, and AI to deliver personalized advice for users each day.
The terms of Midjourney's deal, which reportedly closed in spring, haven't been disclosed.
Leadership Integration
Banu Guler, the founder of Co-Star, will maintain her leadership over the astrology app following the acquisition. Additionally, Midjourney founder David Holz confirmed that Guler is assuming the role of chief design officer for the AI startup. This dual capacity allows Guler to oversee her original product while contributing to the broader design strategy of the parent company.
Midjourney founder David Holz says Co-Star founder Banu … Midjourney, which has gone from generating AI cat images to full-body ultrasound scans, is getting into a new field: astrology. Midjourney founder David Holz says Co-Star founder Banu Guler will stay in charge of the app following the acquisition.
At the same time, Guler will also take on the role of Midjourney’s chief design officer, according to Bloomberg. Holz told the outlet that Guler and her team will help Midjourney build the company’s first apps, including one dedicated to image generation.
Midjourney currently houses its AI models on the web and through Discord.
Application Development
The acquisition is central to Midjourney's goal of creating its first proprietary apps. Currently, Midjourney's AI models are accessible only via Discord and the web. Guler and her team are tasked with building new mobile interfaces, which will include a dedicated application specifically for image generation.
Co-Star’s founder has joined Midjourney to help build the AI startup’s first apps. This is the title for the native ad.
Timeline and Terms
Although the announcement was made on Thursday, reports indicate that the transaction actually closed during the spring. Midjourney has not disclosed the specific financial terms or the total valuation of the deal. The move represents a significant pivot in how the company intends to deliver its AI services to the general public.
Watch whether the capital produces faster shipping, deeper partnerships, or sharper competition in the category.
Key signals
- Midjourney is transitioning from web and Discord-based access to native mobile applications.
- The integration of NASA data via Co-Star introduces new data sources to Midjourney's portfolio.
- Banu Guler's appointment as chief design officer shifts Midjourney's internal leadership structure.
- Co-Star is a free app that offers daily horoscopes and allows you to check your compatibility with friends.
- Midjourney founder David Holz says Co-Star founder Banu Guler will stay in charge of the app following the acquisition.
What to watch
Monitor the release of Midjourney's first image generation app to determine if Co-Star's design influence alters the user experience compared to its current Discord implementation.
Source and methodology
This Intelligence Daily briefing preserves the key facts published by The Verge AI and organizes them into a fuller, reader-friendly report. Read the original reporting.