Latent Technology, a UK-based company developing AI-driven physical animation tools for the gaming industry, has raised £6m in seed funding. The round was co-led by AlbionVC and Spark Capital, with additional backing from Root Ventures and Alumni Ventures.
The funding will be used to accelerate the development of Latent’s core technology, which enables characters in video games to move and respond in real time using physics-informed neural networks—moving beyond the limits of pre-scripted animation.
Founded in 2022, Latent is reimagining how games are animated with a system it calls Generative Physics Animation. Rather than relying on manually authored sequences, its engine uses AI to generate dynamic, emergent behaviours that adapt to player input and evolving gameplay conditions.
Its proprietary model, Phoenix, underpins this approach and serves as the foundation for its in-development Latent Behaviour Engine, which allows developers to integrate these responsive animations directly into their workflows.
With the rising cost of AAA game production and increasing demand for richer, more responsive experiences, Latent aims to offer a faster, scalable alternative to traditional animation methods. The company is currently running a closed beta with select studios and plans to release two new tech demos later this year.
