Created by the founders of Maluuba (AI lab acquired by Microsoft), Skyfall has assembled a team of 25 top AI researchers to accelerate the autonomous enterprise & opens solicitations to acquire a small SaaS business which it plans to turn into the first fully autonomous company
SAN FRANCISCO & TORONTO — Skyfall, a neolab building systems for the first autonomous enterprise, today emerged from stealth with an undisclosed amount of funding from Fidelity, Inovia Capital, Touring Capital, M13, NextView Ventures and Garage Capital. Skyfall was created by the founding team of Maluuba, a deep learning lab acquired by Microsoft in 2017. Skyfall’s mission is to move beyond the limitations of current Large Language Models (LLMs) to develop Enterprise World Models capable of powering the fully autonomous corporation. As its first initiative, Skyfall is in the process of acquiring a small SaaS business which it plans to use as a test-bed for its AI products. Business owners can submit their company for acquisition here: https://skyfall.ai/acquisition.
New Systems Needed to Build the Autonomous Enterprise
While today’s AI models excel at generating text, they remain fundamentally disconnected from the causal logic of business operations. They lack the “world model” required to simulate the multi-layered consequences of strategic actions. True enterprise leadership demands decision-making under deep uncertainty, a skill rooted in recursive simulation rather than step-wise text generation. Because current models cannot navigate the non-linear interactions between financial and human variables, they struggle with long-horizon execution. To reach true autonomy, AI must evolve from predicting the next word to forecasting the next state of an organization and world it lives in.
“We invested in Skyfall because Sam has a track record of seeing the next frontier before it becomes consensus. He recognized that LLMs would not be continual learners, so he built a research lab around a new world model architecture designed for true enterprise intelligence in ever evolving reality,” said Morgan Blumberg, Partner at M13. “Morpheus gives the industry its first real test of whether AI can reason through the complexity of a living business, not a simulation that resets every few minutes.”
Skyfall’s Mission: Building the first Enterprise Super Intelligence
Skyfall is building the first Enterprise World Model designed to simulate thousands of potential business actions and their long-term consequences. By moving beyond text prediction to recursive simulation, these models need to understand the entire company, integrating everything from financial data to operational APIs to predict future states.
“The job of a CEO is to make hundreds of decisions every week with thousands of data points available to you,” said Sam Pasupalak, Co-founder of Skyfall. “To automate that, you need more than a chatbot, you need a comprehensive system that understands the fundamentals of a company: how marketing spend impacts sales, how HR shifts affect productivity, and how to plan across long horizons. It is a herculean effort, but one that will soon be possible with breakthroughs in AI, and we hope to be the ones to make this a reality.”
Soliciting Bids to Acquire Small SaaS Startups for up to $1M
As part of its efforts to build the first fully autonomous enterprise, Skyfall is opening solicitation to buy a small SaaS business for up to $1 million. The project is designed to test whether an artificial intelligence system can successfully run and scale a digital business end-to-end with minimal human intervention, while identifying critical failure scenarios along the way.
The goal of the experiment will be to 2x revenue within 6 months of acquisition with minimal human oversight. Humans will be limited to signing the acquisition documents, setting up initial AI systems, creating payment portals/bank accounts, and filing tax and regulatory documents. The company will publish regular updates and research on the experiment once it is started. Business owners can submit their company for acquisition here: https://skyfall.ai/acquisition.
Product Roadmap: Bridging Deep AI Research and Transformative Products
Skyfall also recently introduced its first product: Morpheus, a Continual Reinforcement Learning platform for AI researchers. Designed for AI researchers, the platform models complex, non-stationary systems, beginning with inbound and outbound warehouse management, allowing agents to learn and adapt without explicit task labels or predefined curricula. Unlike traditional platforms that rely on abrupt task switches or frequent resets, Morpheus features persistent enterprise worlds where actions compound over time to shape future dynamics. Morpheus is also the same system used internally by Skyfall’s research team to develop its models. In the coming months, the lab also plans to release an agentic suite designed to automate dozens of enterprise tasks for CEOs and entrepreneurs.
Founding Team with Deep Experience Building Commercial AI Research Labs
The founding team of Skyfall consists of Sam Pasupalak (CEO), Kaheer Suleman (CTO), and Sumit Pasupalak (CPO). Sam and Kaheer previously built Maluuba, a pioneering AI research lab that was acquired by Microsoft in 2017 for $160 million. The organization went on to become Microsoft AI in Canada, where the team helped oversee early AI development and rollout across millions of devices. They’ve assembled a team of 25 AI researchers and builders from leading organizations including Microsoft AI, University of Toronto, University of Waterloo, University of Alberta and MILA Quebec AI Institute.
“Our relationship with the Skyfall founders goes back to the Maluuba days. We have always admired their grit to take on hard problems in AI with a goal of real commercial value,” said Samir Kumar, General Partner at Touring Capital. “Skyfall.ai is pushing R&D in world models and showing how to build AI that understands and can simulate highly complex, dynamic systems. They have set an incredibly ambitious vision for the future of enterprise software and building digital twins of companies and their processes. Touring Capital is thrilled to partner with this team as they undertake the foundational technical work required to unlock this next frontier.”
For more information, please visit https://skyfall.ai/.
“Our relationship with the Skyfall founders goes back to the Maluuba days. We have always admired their grit to take on hard problems in AI with a goal of real commercial value,” said Samir Kumar, General Partner at Touring Capital. “Skyfall.ai is pushing R&D in world models and showing how to build AI that understands and can simulate highly complex, dynamic systems. They have set an incredibly ambitious vision for the future of enterprise software and building digital twins of companies and their processes. Touring Capital is thrilled to partner with this team as they undertake the foundational technical work required to unlock this next frontier.”
For more information, please visit https://skyfall.ai/.
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