Pakistani-founded AI startup Jams acquired by OpenAI in landmark deal

U.S. artificial intelligence leader OpenAI has acquired Jams, a generative AI startup founded by Pakistani engineers Asad Awan and Hamza Aftab, marking a notable milestone for Pakistan’s tech ecosystem and venture capital scene.

Awan, announcing the development on LinkedIn, said the pair were “thrilled to continue [their] vision with the best product and AI builders of our time at OpenAI”.

Jams, which specializes in creating video tools powered by generative AI, was launched by the two former Meta engineers to make advanced AI experiences more accessible to consumers.

The company had raised capital from Andreessen Horowitz (a16z) and Indus Valley Capital (IVC), a Pakistan-based venture capital firm. For IVC, the deal represents its first portfolio exit, which founder Aatif Awan described as validation of the fund’s evolving strategy to back Pakistani entrepreneurs building global products.

“Jams was our first investment under this model,” he wrote, adding that the firm planned to “double down” on supporting founders with Pakistani roots, particularly those operating in competitive international markets.

According to an update posted on its website, Jams and its companion app Hubble will be discontinued later this year, with only part of the team joining OpenAI. The company thanked its investors, employees, and users for their support and said customers would receive data migration instructions by email.