Skyfall AI

Building Enterprise Super Intelligence 👉 Try Morpheus now:

[Skyfall AI @skyfallai]

We're excited to announce that Skyfall has emerged from stealth.

For years, the foundation model market has relied on a single paradigm: scaling laws for LLMs - more data, more compute, bigger models. However, we believe the next generation of AI models requires a different approach. Skyfall is solving the hardest open problems in frontier AI: long-horizon planning, data inefficiency, and brittle performance in dynamic real-world environments. To achieve the team's vision of a completely autonomous enterprise, the team is developing a next-generation frontier model using Continual Learning and World Modeling.

Our CEO and Co-Founder Sam Pasupalak (@spisallyouneed) shares what's next for Skyfall and why we're building a new category of frontier AI.

Read the full announcement to learn more about our vision and how we're addressing the foundational gaps in today's AI systems.

PS: we also announced something big 👀 in the article

[Sam Pasupalak @spisallyouneed]

Around 15 years ago, Kaheer Suleman and I started Maluuba with the vision of building Universal Turing Machines. Back then, we were one of the pioneer research labs building foundational modules of deep learning and Reinforcement learning with Turing award winners @Yoshua_Bengio and @RichardSSutton. There was no AI hype then, as there is now. Those were the good old days of doing pure scientific research unlike the n+1 research that we see today. Maluuba was later acquired by Microsoft and became @MSFTResearch Canada.

Grounded in that same mission, we're finally ready to introduce @skyfallai to the world after a lot of experimentation in stealth over the last year. We're a frontier neo lab building the first Autonomous Enterprise by moving beyond the current LLM paradigm.

For the last 5 years, the foundational model market has relied on a single paradigm: scaling laws for LLMs - more data, more compute, bigger models. However, the real world is messy and much more complicated. In order to achieve our long term vision, the next generation of AI models requires a different approach. Skyfall is solving the hardest open problems in frontier AI: long-horizon planning, data inefficiency, and brittle performance in dynamic real-world environments.

To achieve the team's vision of a completely autonomous enterprise, the team is developing a next-generation frontier model (Enterprise World Models) using Continual Learning and World Modeling. Enterprise World Models can simulate the multi-layered consequences of strategic business actions. Our approach unlocks a new category in the foundation model market. To prove it, we're introducing Morpheus, a Continual Reinforcement Learning platform for AI researchers.

I'm building this company with the people I trust the most: my longtime friend Kaheer Suleman (prev. Co-Founder of Maluuba) and my brother @omgiamgod (prev. YC founder). Sumit and Kaheer are the first principles thinkers I can trust to go to the end of the world with to achieve the mission impossible together. Together with a stellar team of 25 researchers and engineers, we're pushing a new frontier in AI forward.

We unpacked our long term vision in today’s Forbes feature 🔗- read it to see what we’re building toward. Thank you so much Victor Dey for the interview.

To achieve our goal of enterprise world models, we are soliciting bids to acquire small SaaS startups (up to $1M) and fully automate them. If you’re interested, submit your business here: https://t.co/w8ayopZFLH

Finally, thank you to our investors and advisors for believing in our vision since day one: @Fidelity , @sk121 (@touringcapital), @karam_n and @chrisarsenault (@inovia), @morgan_blumberg (@M13Company ), @stephpalmeri (@NextViewVC ), and @michaellitt and @mmccauley (@GarageCapital ), @jennydhe, @fchollet @NaveenGRao and so many others for supporting us in this journey.

[Skyfall AI @skyfallai]

@spisallyouneed Canada is where the talent is 🇨🇦

[Sam Pasupalak @spisallyouneed]

We’re at a pivotal moment in the AI revolution right now but Canada doesn't get as much credit.

Canada's AI talent pool is exceptional and yet is still underrated since SF takes all the credit. Canada has produced pioneers and leaders in AI such as nobel prize winners @GeoffreyHinton, Turing award winners @Yoshua_Bengio and @RichardSSutton, OpenAI founders @ilyasut and @karpathy, amongst countless others.

At https://t.co/E0sZ94eJHQ, we are doing fundamental AI research in the post-LLM era and we are building our research team out of Toronto. Given the huge density of high profile AI talent at @UofT , @UWaterloo , @Mila_Quebec and @amiithinks, we believe that this is one of the best places in the world to do AI research.

Thanks to @BetaKit for sharing our story about building our AI research lab from Canada. We are very grateful about the fact that 15 years ago we also hired the best and brightest minds in Canada at Maluuba during the early stages of the deep learning revolution. We will keep investing in Canada for the years to come.

[Skyfall AI @skyfallai]

Start training here: https://t.co/Evqf0xMiyB

[Skyfall AI @skyfallai]

Morpheus is live.

Join 50+ research teams that are already in the platform pushing the boundaries of what agents can learn in real enterprise environments.

[Skyfall AI @skyfallai]

Thank you @BetaKit for covering our story. 🇨🇦

[BetaKit @BetaKit]

.@skyfallai's founders previously helped teach machines to understand language at their startup Maluuba.

Now, they're trying to build models that can understand a business well enough to run it. And they're going to test them on a real business.

https://t.co/LD2KA8dz2E

[BetaKit @BetaKit]

.@skyfallai's founders previously helped teach machines to understand language at their startup Maluuba.

Now, they're trying to build models that can understand a business well enough to run it. And they're going to test them on a real business.

https://t.co/LD2KA8dz2E

[Skyfall AI @skyfallai]

Blog: https://t.co/CfHYji5tJi

[Skyfall AI @skyfallai]

The current configuration sequence isn't pushing either model (Gemini 3.1 Pro or GPT-5.5) outside its pre-training distribution.

This is a red flag as a continual RL agent's stable reward after convergence is evidence of a learned optimal policy. However, an LLM's stable reward is just evidence of a fixed heuristic.

They simply are not continual learners.

Check our blog out 🔗 and tell us if you agree or disagree.

[Skyfall AI @skyfallai]

Try it here: https://t.co/Evqf0xMiyB

[Skyfall AI @skyfallai]

We got a lot of questions about what our evaluation metrics were on Morpheus:

To properly test continual learning abilities, we considered the following:

1. Per-Configuration Reward: How well the agent performs within each interval separately?

2. Adaptation Speed: How fast (based on number of decision steps) can the agent detect and respond to a configuration shift?

3. Forgetting: What’s the immediate performance drop / increase when a configuration shift happens? Does the agent retain any of its competence from before?

4. Recovery time: After detecting a shift, how long until the agent's behavior stabilizes in the new configuration?

5. Stability: Does the agent's policy oscillate wildly, or does it settle into consistent behavior?

6. Performance gap relative to a configuration: What’s the difference between what an agent actually achieved and the best it theoretically could have achieved in that specific configuration?

Test your RL agent out 🤖and let us know how it did. 👇

[Skyfall AI @skyfallai]

GPT-5.5 IN had a detection lag of >25 at configuration shift and it never recovered.

The main culprit is the context window bottleneck.

When consequences are delayed beyond effective context, diagnostic signals become inaccessible. However, shorter-horizon tasks mask it entirely.

This is why we need genuine benchmarks like Morpheus and not toy environments to train the next-generation of agents that adapt continuously like in the real world.

Try Morpheus here: https://t.co/kvUYQ2hM7r

[Jenny He @jennydhe]

let me know if you have a SaaS company to sell!

[M13 @M13Company]

“@skyfallai is building what it says is the first enterprise world model, a type of AI that could reason through the complex decisions involved in running a business,” wrote @sarahklearman Klearman in @WSJVC’s newsletter this morning. 

She covered Skyfall’s mission to build AI that could give rise to the first autonomous enterprise + their plans for their first acquisition by the end of August. 

Meet Skyfall at https://t.co/v9mZld0VXa

[Sam Pasupalak @spisallyouneed]

Yesterday, we came out of stealth at @skyfallAI in Forbes and today we're excited to announce that Skyfall AI is featured in the @WSJ's newsletter.

We believe in a utopian world that will be achieved over the next decade, where humans will work in their own creative interests in space exploration, sports, arts or philosophy while machines will do all the mundane operational tasks. We want to free humanity from all the monotonous boring operational tasks that they spend their daily lives doing.

The only way to achieve this vision is via creating autonomous enterprises, i.e., companies that can run by themselves with minimal human intervention. After 15 years of building in the AI space, one thing is certain. LLMs are static systems that fail at

- Long horizon planning tasks
- High consequential decision-making
- Sample efficiency
- Dynamic environment adaptation

These skills are required by a business to survive and grow. Unfortunately, LLMs are not designed for the real world constraints of running an organization.

Our solution is Enterprise World Models grounded in Continual Learning and World Modeling. We're taking a fundamentally different approach because we have always believed in 0 to 1 research, and not incremental n+1 RL fine tuning.

We are acquiring SaaS businesses to prove our thesis for creating AI systems for the post scarcity world. This is a call to all SaaS founders to submit your company if you’re interested (🔗 in comments)

Thank you Sarah @sarahklearman for covering our story on @WSJ

[Avinash Singh @AvinashSingh_20]

Yesterday, @skyfallai announced something that caught my attention.

They're looking to acquire small SaaS businesses (up to $1M) and fully automate them as part of their vision to build the first autonomous enterprise.

Instead of only talking about what's next in AI, they're testing their ideas on real businesses, which is an ambitious approach.

If you're a SaaS founder and this sounds interesting, you can submit your business here:
https://t.co/DoRKWl6g8r

For the full story, check out wall street journal: link in the comment!

[Skyfall AI @skyfallai]

@ai_for_success @spisallyouneed @WSJ Onwards and upwards! 🚀

[Skyfall AI @skyfallai]

Yesterday, we announced to the public that we are accepting bids to acquire SaaS businesses for up to $1M.

This is to achieve our goal of building the First Autonomous Business. We’re a neo lab focusing on Continual Learning and World Models to build Enterprise World Models - models that can reason and simulate the multi-layered consequences of different strategic business decisions.

Founders, please submit your business if you're interested (🔗 in comments)

Thank you Sarah @sarahklearman for covering our story on @WSJ

[Sam Pasupalak @spisallyouneed]

Yesterday, we came out of stealth at @skyfallAI in Forbes and today we're excited to announce that Skyfall AI is featured in the @WSJ's newsletter.

We believe in a utopian world that will be achieved over the next decade, where humans will work in their own creative interests in space exploration, sports, arts or philosophy while machines will do all the mundane operational tasks. We want to free humanity from all the monotonous boring operational tasks that they spend their daily lives doing.

The only way to achieve this vision is via creating autonomous enterprises, i.e., companies that can run by themselves with minimal human intervention. After 15 years of building in the AI space, one thing is certain. LLMs are static systems that fail at

- Long horizon planning tasks
- High consequential decision-making
- Sample efficiency
- Dynamic environment adaptation

These skills are required by a business to survive and grow. Unfortunately, LLMs are not designed for the real world constraints of running an organization.

Our solution is Enterprise World Models grounded in Continual Learning and World Modeling. We're taking a fundamentally different approach because we have always believed in 0 to 1 research, and not incremental n+1 RL fine tuning.

We are acquiring SaaS businesses to prove our thesis for creating AI systems for the post scarcity world. This is a call to all SaaS founders to submit your company if you’re interested (🔗 in comments)

Thank you Sarah @sarahklearman for covering our story on @WSJ

[Michael Litt @michaellitt]

/1 Excited to back @skyfallai's ambition: build Enterprise World Models to power the world's first autonomous enterprise.

The way I think about it is the "closed loop company".
Most companies today run open loops. You make a decision, then rarely find out if it was right.

[Skyfall AI @skyfallai]

@inovia @spisallyouneed Thank you!

[Skyfall AI @skyfallai]

@mmccauley @spisallyouneed @UWVelocity @GarageCapital Thank you for supporting us since the beginning! 🙌