Metropolis Acquires Controversial AI Firm Oosto in $125M Deal
- Metropolis has acquired Oosto, formerly AnyVision, in a $125 million all-stock deal, far below Oosto's $380 million raised from investors.
- The deal includes Oosto’s technology and team, marking a turbulent chapter for the controversial computer vision company amid AI industry challenges.
Metropolis, an AI-powered parking platform, has acquired Oosto, formerly known as AnyVision, in an all-stock deal valued at $125 million. The acquisition includes Oosto’s intellectual property and team, with CEO Avi Golan and CTO Dieter Joecker set to take senior roles at Metropolis.
Oosto investors, including SoftBank, FifthWall, and Lightspeed, will receive Series D preferred stock as part of the agreement.
The $125 million valuation marks a significant decline for Oosto, which had raised $380 million from investors over the years. The deal also underscores challenges faced by certain AI startups despite the sector's broader momentum.
Oosto’s sale follows years of controversy surrounding its computer vision technology, which has been linked to surveillance applications, including reports of its use by the Israeli government for monitoring Palestinians.
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Metropolis, whose technology operates across 4,000 locations and processes $5 billion in payments annually, plans to integrate Oosto’s capabilities into its platform to enhance its offerings. A Metropolis spokesperson described the company’s mission as enabling “checkout-free payment experiences for the real world” and noted that Oosto’s technology would complement its existing services.
The acquisition comes as Metropolis prepares for its own fundraising efforts, with its valuation reportedly nearing $5 billion. The move signals Metropolis's ambition to expand its capabilities while Oosto seeks stability after years of scrutiny.
Oosto’s history as AnyVision was marked by backlash over the ethical implications of its surveillance applications. Despite efforts to rebrand and reposition itself as an AI safety and security company, the lingering controversies appear to have impacted its ability to sustain growth.
Edited by Harshajit Sarmah
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