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Stability AI, a leader in open-source AI image generation with Stable Diffusion, has come under fire for its Stable Diffusion 3 "Medium" release.

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The company has now admitted that the launch fell short of expectations in terms of quality and licensing. Users on platforms like Reddit pointed out various issues with SD 3, including peculiar problems generating images of people lying on grass.

Stability AI states that initial internal tests showed Stable Diffusion 3 Medium outperforming SDXL in prompt adherence, variety, detail, and overall quality. However, the community quickly identified weaknesses, such as issues with certain poses and words rarely present in the training data.

The company is now working to optimize the model and plans to release a "much improved version" of SD3 in the coming weeks. In addition, they are researching how best to use the new architecture and model, and intend to share their findings and those of the community to optimize its use.

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Non-commercial use remains free

Stability AI is also addressing concerns about the new license terms, which were more restrictive than previous licenses, by revising the license for individual creators and small businesses.

Individuals and organizations can install and run Stability AI models on their own devices for free for non-commercial purposes, including researchers publishing their results in scientific journals.

Free commercial use is also allowed for individuals and small companies with an annual turnover of less than one million US dollars. Those using Stability AI models under the Community License to create derived products or integrate the models into their products or services do not have to pay license fees below this revenue threshold.

There is no limit on the number of media files that can be generated under this agreement, but the company asks users to fill out a short form for tracking purposes.

For commercial use of Stable Diffusion 3, companies only need an enterprise license if their annual revenue exceeds one million US dollars.

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Summary
  • Stability AI admits that the new Stable Diffusion 3 "Medium" model did not live up to the community's high expectations. Users quickly identified weaknesses in certain poses or rare words.
  • The company is working to improve the quality of SD3 and plans to release a significantly revised version in the coming weeks. This will incorporate both the company's own findings and feedback from the community.
  • The new SD3 license terms caused some initial confusion, but have since been clarified: For non-commercial purposes and for companies with an annual turnover of less than one million US dollars, use remains free. An enterprise license is only required above this amount.
Online journalist Matthias is the co-founder and publisher of THE DECODER. He believes that artificial intelligence will fundamentally change the relationship between humans and computers.
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