Shapes Raises $8M to Bring AI Characters Into Human Group Chats, Tackling AI Isolation

Group of friends looking at phones with a glowing AI character icon visible on one screen, representing the Shapes app.

San Francisco, CA — A new app called Shapes is attempting to redefine how humans interact with artificial intelligence by moving AI companions out of private, one-on-one conversations and into the dynamic environment of group chats. The company emerged from stealth today, announcing $8 million in seed funding led by Lightspeed, with participation from AI Capital Partners, AI Grant, and angel investors.

Founded in 2022 by Anushk Mittal and Noorie Dhingra, Shapes has already attracted over 400,000 monthly active users. The app functions similarly to Discord, but with a key difference: alongside human participants, users can invite AI characters—called ‘Shapes’—into their group conversations. These AI agents are clearly labeled for transparency but are otherwise unrestricted, able to initiate messages, respond to queries, and help sustain conversations.

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Addressing ‘AI Psychosis’ Through Social Integration

Mittal and Dhingra argue that the current model of AI interaction—isolated, one-on-one chats with a chatbot—can lead to what they describe as ‘AI Psychosis,’ a term referring to cases where prolonged, private interactions with AI companions cause individuals to develop delusions or paranoia. By embedding AI within existing social circles, Shapes aims to prevent that isolation.

‘Today, all of our conversations with AI are very private and one-on-one, but that’s not really how humans collaborate and communicate with each other,’ Mittal told TechCrunch. ‘Our lives run on group chats. That’s where we spend all of our time. That’s where we talk and communicate with each other. It’s just natural to bring in AI into those same conversations where AI has all of the context and is readily available to help you.’

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How Shapes Works: AI With Free Will

Upon signing up, users select their interests, and the app recommends relevant group chats. Users can create their own Shapes, setting distinct personalities and interests. The company reports that over three million Shapes have already been created by users, many rooted in fandom and subculture interests, allowing fans to deep-dive into shared passions and meet like-minded people.

Unlike other AI tools that require a user to summon them, Shapes have ‘free will’—they can decide when to message, helping to break the ice in quiet chats. Mittal notes that one of the main reasons group chats die is that no one wants to send the first message. Shapes can initiate conversations, and they will always respond, ensuring no message goes unanswered.

Differentiation From ChatGPT and Other Platforms

While ChatGPT recently introduced group chat capabilities, those are typically used for planning or brainstorming. Shapes, by contrast, is designed purely for social, community-style interactions. The app is intentionally targeted at a specific audience: people who are ‘obsessively online’ and spend significant time connecting and sharing in digital spaces.

‘Shapes is about human conversations,’ Mittal said. ‘It’s more of a next-gen chat app than an AI app. The demographic is people who are obsessively online, who spend a lot of time online connecting and sharing. Those are the users who come in and they get an opportunity to obsess about their interests, and the AI acts as a facilitator in those conversations.’

Growth Trajectory and Funding Use

Shapes’ growth has been driven primarily by word of mouth, with the company reporting a sixfold increase in users since the start of the year. Thousands of users spend between two and four hours per day in the app. The new funding will be used to accelerate product development and user acquisition.

The round was led by Lightspeed, with participation from AI Capital Partners, AI Grant, and angel investors.

Conclusion

Shapes represents a notable shift in the AI companion space, moving away from private, isolated interactions toward a more social, community-driven model. By integrating AI into existing human conversations, the company hopes to address growing concerns about the psychological effects of prolonged AI interaction. Whether users will embrace AI characters as active participants in their group chats remains to be seen, but the app’s early growth suggests there is appetite for a more social approach to AI.

FAQs

Q1: What is the Shapes app?
Shapes is a social chat app where humans and AI characters, called ‘Shapes,’ interact together in group conversations. It is designed to feel like a next-generation chat platform, not just an AI tool.

Q2: How is Shapes different from ChatGPT or other AI chatbots?
Unlike ChatGPT, which is typically used for one-on-one tasks or brainstorming, Shapes integrates AI directly into social group chats. The AI characters have distinct personalities, can initiate conversations, and are designed to allow community interaction rather than just provide answers.

Q3: What is ‘AI Psychosis’ and how does Shapes address it?
‘AI Psychosis’ is a term used by the founders to describe potential negative psychological effects from prolonged, private one-on-one interactions with AI companions. Shapes addresses this by embedding AI into group chats with real people, reducing isolation and keeping interactions grounded in social context.

CoinPulseHQ Editorial

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CoinPulseHQ Editorial

The CoinPulseHQ Editorial team is a dedicated group of cryptocurrency journalists, market analysts, and blockchain researchers committed to delivering accurate, timely, and comprehensive digital asset coverage. With combined experience spanning over two decades in financial journalism and technology reporting, our editorial staff monitors global cryptocurrency markets around the clock to bring readers breaking news, in-depth analysis, and expert commentary. The team specializes in Bitcoin and Ethereum price analysis, regulatory developments across major jurisdictions, DeFi protocol reviews, NFT market trends, and Web3 innovation.

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